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3. Unicorn Corp is one of the biggest companies in the United States with the biggest market capital in the develop country. It also operated

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3. Unicorn Corp is one of the biggest companies in the United States with the biggest market capital in the develop country. It also operated in Thailand and Korea. Below are the details of the transactions for Unicorn Corp throughout the year: (1) The total sales produced for each country is 900,000 units. United States produce 700,000 units with USD50 per unit, 500,000 units is from Thailand at THB75 and the remaining balance is from Korea at #100 per unit. (ii) In order to reduce the cost of production, The purchase of raw material which imported from Thailand is 500,000 unit at THB30 per unit. The balance was incurred in Korea where the cost of material is #40 per unit. (iii) Fixed cost is USD800,000 and variable operating expenses represent approximately 15 percent of each from United States and Thailand which out of their sales. (iv) Interest expense is estimated at USD70,000 THB500,00 on United States and Thailand loan only. (v) Three scenarios and the expected value for the upcoming scenarios as follows: Scenario Average value of KRW USD 0.00081 USD 0.00082 Average value of THB USD 0.03 1 2 USD 0.04 3 USD 0.00080 USD 0.05 Show the forecasted net cash flow in three scenarios for Unicorn Corp. (25 marks) 3. Unicorn Corp is one of the biggest companies in the United States with the biggest market capital in the develop country. It also operated in Thailand and Korea. Below are the details of the transactions for Unicorn Corp throughout the year: (1) The total sales produced for each country is 900,000 units. United States produce 700,000 units with USD50 per unit, 500,000 units is from Thailand at THB75 and the remaining balance is from Korea at #100 per unit. (ii) In order to reduce the cost of production, The purchase of raw material which imported from Thailand is 500,000 unit at THB30 per unit. The balance was incurred in Korea where the cost of material is #40 per unit. (iii) Fixed cost is USD800,000 and variable operating expenses represent approximately 15 percent of each from United States and Thailand which out of their sales. (iv) Interest expense is estimated at USD70,000 THB500,00 on United States and Thailand loan only. (v) Three scenarios and the expected value for the upcoming scenarios as follows: Scenario Average value of KRW USD 0.00081 USD 0.00082 Average value of THB USD 0.03 1 2 USD 0.04 3 USD 0.00080 USD 0.05 Show the forecasted net cash flow in three scenarios for Unicorn Corp. (25 marks)

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