Question
The company spent $2 million on research and development for a new product and now evaluating whether to manufacture this product. The cost of the
The company spent $2 million on research and development for a new product and now evaluating whether to manufacture this product. The cost of the equipment to produce the new product is $182 million, and the cost to install the equipment is $5 million. In addition, the company will use a building that originally cost $246 million, but which is on the books at $44 million; the company has no other use for this building and it would remain unused otherwise. What is the initial cash outlay associated with this project in millions? Report your answer to the nearest dollar expressed in millions (e.g., 12,000,000 = 12). The outlay should be a positive number.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started