You inherited 500 shares of ge stock from your great aunt martha. as you contemplate selling the shares, your accountant informs you that the company pays a generous dividend, and advises you to start watching the firms profits. when you are awarded the first dividend, you learn that it is considered a source of income and you will be taxed on that amount. you find this bothersome because the firm paid the dividend from after-tax profits (these dollars were already taxed). this phenomenon is called

Sailcloth & more currently produces boat sails and is considering expanding its operations to include awnings for homes and travel trailers. the company owns land beside its current manufacturing facility that could be used for the expansion. the company bought this land 5 years ago at a cost of $319,000. at the time of purchase, the company paid $24,000 to level out the land so it would be suitable for future use. today, the land is valued at $295,000. the company has some unused equipment that it currently owns valued at $38,000. this equipment could be used for producing awnings if $12,000 is spent for equipment modifications. other equipment costing $490,000 will also be required. what is the amount of the initial cash flow for this expansion project?