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A U.S. MNC is considering a French opportunity. The size and timing of the after-tax cash flows are: 515 -700 H 300 + 400 +

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A U.S. MNC is considering a French opportunity. The size and timing of the after-tax cash flows are: 515 -700 H 300 + 400 + 0 1 2. 3 The inflation rate in the eurozone is 1 = 3%, the inflation rate in dollars is ps = 6% and the business risk of the investment would lead an unlevered U.S.-based firm to demand a return of Kud = is = 15%. The current exchange rate is So($/) = $1.15/. What is the NPV of the investment from the perspective of the U.S. shareholders

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