QUESTION 15 A road building contractor has received a major highway construction contract that will require 50,000 m2 of crushed stone each year for 5 years. The stone can be obtained from a quarry for $8.8/m2. As an alternative, the contractor has decided to try to buy the quarry. He believes that if he owned the quarry, the stone would cost him only $5.30/m2. He thinks he could resell the quarry at the end of 5 years for $300,000. If the contractor uses a 12% interest rate, how much would he be willing to pay for the quarry