Three Part Question (I will up-vote! Thank you!): The managers of Downtown Realty are considering remodeling plans for an old building the firm owns and wants to restore. The building was purchased last year for $890,000. The plan is to create a beautiful resort and conference center at an estimated cost of $3.6 million. The $3.6 million would include equipment costing $900,000 with an estimated salvage value of $250,000 after 5 years. The estimated present value of the future cash flows from this center is $5.9 million. Downtown Realty believes that restoring this property will boost the attractiveness of other buildings it owns on the same block, which would provide them an additional \$1.5 million per year in additional rental income for their adjacent properties. Alternatively, the firm could sell the building as it is, by accepting a cash offer of $1.1 million it just received. I.) Which value above represents a sunk cost? a. $900,000 b. $890,000 c. $1,100,000 d. $3,600,000 e. $1,500,000 f. $250,000 II.) See the scenario above. Which value represents the opportunity cost of the project? III.) See the scenario above. Which value represents a side-effect