Kelly's Corner Bakery Purchased a Lot in Oil City 6

Multiple Choice

Kelly's Corner Bakery purchased a lot in Oil City 6 years ago at a cost of $302,000.Today,that lot has a market value of $340,000.At the time of the purchase,the company spent $15,000 to level the lot and another $20,000 to install storm drains.The company now wants to build a new facility on that site.The building cost is estimated at $1.51 million.What amount should be used as the initial cash flow for this project?

A) -$1,470,000
B) -$1,850,000
C) -$1,875,000
D) -$1,925,000
E) -$1,945,000