8.1 a local government is considering promoting tourism in the city. it will cost $5,000 to develop a plan. the anticipated annual benefits and costs are as follows: annual benefits: increased local income and tax collections $117,400 annual support service: parking lot expansion, rest room, patrol car, and street repair $48,830 if the city government uses a discount rate of 6% and a study period of five years, is this tourism project justifiable according to the benefit–cost analysis?

The blumer company entered into the following transactions during 2012: 1. the company was started with $22,000 of common stock issued to investors for cash. 2. on july 1, the company purchased land that cost $15,500 cash. 3. there were $700 of supplies purchased on account. 4. sales on account amounted to $9,500. 5. cash collections of receivables were $5,500. 6. on october 1, 2012, the company paid $3,600 in advance for a 12-month insurance policy that became effective on october 1. 7. supplies on hand as of december 31, 2010 amounted to $225. the amount of cash flow from investing activities would be: