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7. International capital budgeting One of the important components of multinational capital budgeting is to analyze the cash flow generated from subsidiary companies Consider this

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7. International capital budgeting One of the important components of multinational capital budgeting is to analyze the cash flow generated from subsidiary companies Consider this caset Sacramena Products Co. saus.firm evaluating a project in Australia. You have the following information about the project: . The project requires an investment of AU$915,000 today and is expected to generate cash flows of AU$1,200,000 at the end of each of the next two years. The current exchange rate of the US dollar against the Australian dollar is $0.7755 per Australian dollar (AUS) The one-year forward exchange rate is $0.8022 / Aus, and the two-year forward exchange rate is $0.8145 / AUS The firm's weighted average cost of capital (WACC) 9%, and the project is of average nsk. What is the dollar-denominated net present value (NPV) of this project? O $846,625 O $1,245,036 What is the collar denominated present value (NPV) of this project? Is 5846,625 O $1,245,036 O $1,195,235 O $996,029 There are three major types of international credit markets. Read the following statement and then indicate which type of international creme is being described Georia Industries Inc, a US-based company, issued dollar denominated bonde in China and India to finance and national ory Eurobond Foreign bond O Eurocredit Save & Continua

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