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Parker & Stone, Incorporated, Is looking at setting up a new manufacturing plant in South Park to produce garden tools. The company bought some land
Parker \& Stone, Incorporated, Is looking at setting up a new manufacturing plant in South Park to produce garden tools. The company bought some land six years ago for $8.7 million in anticipation of using it as a warehouse and distribution site, but the company has since decided to rent facilities elsewhere. If the land were sold today, the company would net $11.5mill ion. The company now wants to bulld its new manufacturing plant on this land; the plant will cost $227 million to bulld, and the site requires $1,020,000 worth of grading before it is sultable for construction. What is the proper cash flow amount to use as the initlal investment in fixed assets when evaluating this project? Note: Do not round Intermedlate calculatlons and enter your answer In dollars, not millilons, rounded to the nearest whole number, e.g., 1,234,567
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