An Italian firm is considering selling its line of coin-operated cappuccino machines in the U.K. . The business risk will be identical to the firms existing line of business in the euro zone. The cost of capital in the Euro Zone is 10% The expected inflation rate over the next three ears is 3% in the UK and 2% in the Euro zone. The Spot exchange rates are 1BP=1.84USD and 1Euro=1.15USD The pound sterling denominated cash flows are as follows: What is the -denominated NPV of this project? \begin{tabular}{llll} YEAR 0 & YEAR 1 & YEAR 2 & YEAR 3 \\ 100,000 & 25000 & 100000 & 100000 \end{tabular}