Downtown Cleaners (DC) Operates a Dry Cleaning Business

Downtown Cleaners (DC) operates a dry cleaning business. When the cleaners purchased their existing building they spent an additional $49,500 and purchased the empty lot next door. This lot
Is currently appraised at $62,500. DC is currently considering expanding their business and
Providing laundry services for dress shirts. The expansion would entail an addition to their existing
Facility which would be built on the adjacent lot. The expansion to the building will cost $114,900.
DC currently has $14,500 worth of unused equipment which could be used in the new operation. In
Addition, DC would need to acquire an additional $96,000 of equipment. The total initial cost of this
Project is estimated at:

A) $260,400.
B) $273,400.
C) $274,900.
D) $286,400.
E) $287,900.