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You tuave just conpleted a $21,000 feasblity study for a new coffee shop in some retal space you own. You bought tha space two years
You tuave just conpleted a $21,000 feasblity study for a new coffee shop in some retal space you own. You bought tha space two years ago for $105,000, and if you soid it todiry, you would net $112,000 afer taxes. Ouffeting the soace for a cofee shop would require a capital expendiure of $31,000 plus an initial investment of $5,200 in inventory. What is the correct inital cash fow for you andlysis of the colfee shoe oppertunty? isentey the relevant incremental cash fows below: (Select al be choices that apely) A. Inital levestrent in inventory. B. Amourt you weild net ather tasens thould you seli the space tody. C. Price you faid far the space two years apo. D. Feashlity itudy foe the new coltee shee E. Capial ergensture to oistit the space
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