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Parker & Stone. Inc., Is looking at setting up a new manufacturing plant In South Park to produce garden tools. The company bought some land

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Parker & Stone. Inc., Is looking at setting up a new manufacturing plant In South Park to produce garden tools. The company bought some land 8 years ago for exist8 million in anticipation of using It as a warehouse and distribution site, but the company has since decided to rent these facilities from a competitor Instead. If the land were sold today, the company would net exist9.2 million. The company wants to build its new manufacturing plant on this land: the plant will cost exist13.2 million to build, and the site requires exist1, 196,000 worth of grading before It Is suitable for construction. What is the proper cash flow amount to use as the initial investment in fixed assets when evaluating this project? exist22, 400,000 exist23, 596,000 exist21, 452, 160 exist21, 204,000 exist24, 775.800

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