C. 7 Northern Lights Incorporated is a Bangladeshi lighting fixtures manufacturer . The Bangladeshi taka risk free rate is 7 percent. The risk premium in Dhaka Stock Exchange (DSE) is 6 percent. Northern Lights buta is 1.5 when measured against DSE, Northern Lights' pretax borrowing cost in pst on new long-term BDT denominated debt is 10 percent. The debt to equity ratio for Northern Lights is 50 percent. Interest payments are tax deductible in BD at the marginal corporate tax rate of 37.5%. Northern Lights could appeal to international investors by listing on the New York stock exchange (NYSE) If they chose to do so, Northern Lights could borrow BDT in the New York market at a pretax cost of 8 percent. The BDT risk free rate is 6% in international markets. International investors are willing to tolerate a 60 percent debt-to-equity mix at this cost of debt. With a 60 percent debt to equity ratio, the beta of Northern Lights is 1.2 against the MSCI World index. The risk premium on the world market portfolio is 5 percent. Interest payments are tax deductible in BD at the marginal corporate tax rate of 37.5%. Suppose Northern Lights generated after-tax operating cash flow in the next three years is forecasted to be C$1 million, C$2 million, and CS3 million, respectively. After that it is expected to grow at a constant rate of 4% perpetually. Should Northern Lights finance its project domestically (segregated market)? Or internationally integrated market)? How much Northern Lights can change its value using integrated market over separated market