Question
Frances Farmer plans to open a new location of a national fast food chain restaurant on property in Seattle she purchased five years ago for
Frances Farmer plans to open a new location of a national fast food chain restaurant on property in Seattle she purchased five years ago for $36,125. The current market value of the property is $185,744. The restaurant will cost $807,924 to build, and the site requires $19,363 worth of preparation before it is suitable for construction. Annual operating expenses are expected to be $27,050. What is the proper cash flow amount to use as the initial investment in fixed assets when evaluating this project? DO NOT USE DOLLAR SIGNS OR COMMAS IN YOUR ANSWER. ENTER YOUR ANSWER TO THE NEAREST DOLLAR (e.g. 1250).
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