Assume that you invested equity to establish a project in Portugal in January about 7 years ago. At the time the project began, you could have supported it with a 7-year loan either in dollars or in euros. If you bor-rowed U.S. dollars, your annual loan payment (including principal) would have been $2.5 million. If you borrowed euros, your annual loan payment (including principal) would have been 2 million euros. The project generated 5 million euros per year in revenue.

Use an Excel spreadsheet to determine the dollar net cash flows (after making the debt payment) that you would receive at the end of each of the last 7 years if you partially financed the project by borrowing dollars.