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Answer the next two questions using the following data. To make the questions simple, assume that the project ends in the third year (i.e., current

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Answer the next two questions using the following data. To make the questions simple, assume that the project ends in the third year (i.e., current year is Year O). Year o Year 1 Year 2 Year 3 Initial outlay investment 400 - 100 200 300 Cash flow 180 Salvage value 0.6 0.5 0.4 Exchange rate 0.5 0.1 0.1 0.1 0.1 Required rate of return What is the total amount of estimated cash flows after discounting by required rate of return? (Hint: do not include initial outlay investment) $193 $201 O $245 $284 The NPV of this project is and thus the MNC should the project. O $13; accept O $-10; reject O $65; accept O $-39; reject

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