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1 3 4 5 Natural Mosaic Corp. (US) considers buying a tile manufacturing plant in India. The plant is estimated to generate FCF of 195,000

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1 3 4 5 Natural Mosaic Corp. (US) considers buying a tile manufacturing plant in India. The plant is estimated to generate FCF of 195,000 Indian rupees (Rs) next year and grow 6% to infinity. They might sell the plant at the end of 2 years for approximately 7 times the FCF in that year The current spot exchange rate is 50.27 Rs/$. Indian inflation rate is expected to be 6.9% per annum compared to the US Inflation rate of 185% per annum. They use 12% global cost of capital for foreign investments, How much is the expected spot rate in Year 1 (next year? 56.19 Rs/5 51.09 R/$ 53.44 Rs/S 52.76 Rs/$

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