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An Australian MNC is considering a direct investing project in Korea. Which of the following settings would increase the project's NPV ? a . The
An Australian MNC is considering a direct investing project in Korea. Which of the following settings would increase the project's NPV
a The government becomes more likely to nationalize the project.
b The government will block some of the cash flows generated by the project causing KRW million opportunity costs, but will also provide a subsidized loan with NPV of KRW million.
c The government requires the MNC to take another project with an NPV of KRW million but would provide a subsidized loan with NPV of KRW million.
d All these scenarios would increase the project's NPV
e The economic and political uncertainty in Korea increases while the economic and political uncertainty in Australia decreases.
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