Fey Enterprises Recorded a Restructuring Charge of $16

Multiple Choice

Fey Enterprises recorded a restructuring charge of $16.2 million during fiscal 2016 related entirely to the closing of its division located in Denver, Colorado. The company's financial statement footnotes indicated that expected employee separation payments amounted to $12.6 million and that fixed asset write-downs accounted for the remainder. Nickolas had never before incurred restructuring charges. At the end of the year, the company's balance sheet included a restructuring accrual of $2,700,000.
The cash flow effect of Fey Enterprises' restructuring during fiscal 2016 is:

A) $0 (there was no cash flow effect in 2016)
B) $13,200,000
C) $16,800,000
D) $ 9,900,000
E) $21,600,000