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Computing the amount of economic investment

Assignment Help Macroeconomics
Reference no: EM132435793

Problem: Assume that a national restaurant firm called BBQ builds 20 new restaurants at a cost of $1 million per restaurant. It outfits each restaurant with an additional $300,000 of equipment and furnishings. To partially defray the cost of this expansion, BBQ issues and sells 400,000 shares of stock at $35 per share.

Instructions: Round your answers to one decimal place.

Question 1: What is the amount of economic investment that has resulted from BBQ's actions?

Question 2: What is the amount of financial investment that has resulted from BBQ's actions?

Reference no: EM132435793

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