The Roadway Bar is considering building a new dance floor. A marketing survey was done last year costing $10,000, that determined the new dance floor would be a good investment. The new dance floor will cost $100,000, with an additional net working capital requirement of $15,500. the net investment for this new dance floor is$100,000$125,500$110,000$115,500

Calculation of net investment: Answer: Net investment is $115,500

Answered: The Roadway Bar is considering building…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 3EB: A restaurant is considering the purchase of new tables and chairs for their dining room with an...

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The Roadway Bar is considering building a new dance floor. A marketing survey was done last year costing $10,000, that determined the new dance floor would be a good investment. The new dance floor will cost $100,000, with an additional net working capital requirement of $15,500. the net investment for this new dance floor is
1. $100,000
2. $125,500
3. $110,000
4. $115,500

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