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You have just completed a $ 1 8 , 0 0 0 feasibility study for a new colfee shop in some retail space you own.

You have just completed a $18,000 feasibility study for a new colfee shop in some retail space you own. You bought the space two years ago for $105,000, and if you sold it today, you would net $120,000 after taxes. Oulfiting the space for a coffee shop would require a capital expenditure of $35,000 plus am initial investment of $4,800 in inventory Whal is the correct initial cash flow for your analysis of the coffee shop opportunity?
Identify the relevant incremental cash flows below: (Select all the choices that apply.)
A. Price you paid for the space two years ago.
B. Capital expenditure to outfit the space.
C. Feasibility study for the new coffee shop.
D. Initial investment in inventory.
E. Amount you would net after taxes should you sell the space today.
Calculate the initial cash flow below: (Select from the drop-down menus and round to the nearest dollar.)
$
2 Capital Expenditure (outfit of space).... $
3 Change in Net Working Capital $
4 Free Cash Flow $
$
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