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The Initial Purchase Price of a New Stamp Press Is

Question 16

Multiple Choice

The initial purchase price of a new stamp press is $6,000.The firm will spend $5,000 on shipping and installation.Training of new employees will cost $2,000.As a result of the purchase,inventory must increase $1,300.What is the net initial cash flow? Round your answer to the nearest dollar.Sign your cash flows negative for outflows and positive for inflows.


A) $13,000
B) -$13,000
C) $14,300
D) -$14,300
E) $11,000

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