13.11 Consider the investment in Problem 13.1. The Chinese government insists that you build an airport near this project at a cost of CNY 100 million. Should you still accept the project? Here are the details from project 13.1: 13.1 You work for an Israeli company that is considering an investment in China's Sichuan province. The investment yields expected after-tax Chinese new yuan cash flows (in millions) as follows: +CNY 200m +CNY500m +CNY300m -CNY600m Expected inflation is 6 percent in shekels and 3 percent in yuan. Required returns for this risk-class are ILS = 15 percent in Israeli shekels and iCNY = 11.745 percent in yuan. The spot exchange rate is S ILS/CNY = ILS 0.5526/CNY. Assume the international parity condi- tions hold