Question: WestCoast Kitchen Corp. is evaluating whether it should take over the restaurant lease in Richmond. The current owner had originally signed a 20-year lease, of

WestCoast Kitchen Corp. is evaluating whether it should take over the restaurant lease in Richmond. The current owner had originally signed a 20-year lease, of which 15 years still remain. The restaurant has been growing steadily at a 6% growth for the last several years. WestCoast Kitchen Corp. expects the restaurant to continue to grow at the same rate for the remaining lease term. Last year, the restaurant brought in net cash flows of $320,000. If the company evaluates similar investments using a 14% discount rate, what is the present value of this investment? Group of answer choices $2,448,722 $2,816,423 $1,909,924 $3,139,450

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