Exercise 6-12 Your answer is partially correct. Try again. The Grouper Inc., a manufacturer of low-sugar, low-sodium, low-cholesterol TV dinners, would like to increase its market share in the Sunbelt. In order to do so, Grouper has decided to locate a new factory in the Panama City area. Grouper will either buy or lease following three very similar buildings that will meet their needs. site depending upon which is more advantageous. The site location committee has narrowed down the available sites to the Building A: Purchase for a cash price of $619,800, useful life 26 years. Building B: Lease for 26 years with annual lease payments of $71,730 being made at the beginning the year. however, the excess space can be sublet for 26 vears at a net annual rental $6,810. Rental payments will be received Bullaing Purchase for o,100 as. Inc. h ud d Click here to view factor tables you recommend that The Grouper Inc. locate, assuming a 11% cost of funds? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal nw A58 581.) Net Present Value 619800 Building A 291396 Building B Building C The Grouper Inc. should locate itself in TBuilding C