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Amount of the project initial cash flow

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Reference no: EM131206220

Jeff's Stereos is expanding its product offerings which includes increasing the floor inventory by $150,000, increasing accounts receivable by $35,000, and increasing its debt to suppliers by $75,000. The company will also spend $200,000 for a building contractor to expand the size of the showroom. What is the amount of the project's initial cash flow?

a. -$295,000

b. -$160,000

c. -$240,000

d. -$310,000

e. -$175,000

Reference no: EM131206220

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