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Click to see additional instructions The spot exchange rate today is 125=$1. The U.S. discount rate is 10%; inflation over the next three years is
Click to see additional instructions The spot exchange rate today is 125=$1. The U.S. discount rate is 10%; inflation over the next three years is 3% per year in the U.S. and 2% per year in Japan. There is a project that requires an initial investment of 1,000,000, and generates 500,000 each year in the following 3 years. Find the dollar cash flows to compute the dollar-denominated NPV of this project. Japanese cost of capital = \%. (Round your answer to 3 decimal places) NPV = Convert NPV into $NPV=$ Jse the same question from \#4. The spot exchange rate today is 125=$1. The U.S. discount rate is 10%; inflation over the next three years is 3% per year in che U.S. and 2% per year in Japan. There is a project that requires an initial investment of 1,000,000, and generates 500,000 each year in the following 3 years. Find the dollar cash flows to comput the dollar-denominated NPV of this project. Exchange rate in year 1= (Round your answer to 2 decimal places) Exchange rate in year 2= (Round your answer to 2 decimal places) Exchange rate in year 3= (Round your answer to 2 decimal places) Once you have the exchange rates for the next three years, find dollar cash flows to compute the dollar-denominated NPV =$
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