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find gross profit (blanks) 4. An example of valuing a foreign target 2. Eitmating Told 4. Eitreing NPV Expenses of this and Cuniatre hat STEP:

find gross profit (blanks)
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4. An example of valuing a foreign target 2. Eitmating Told 4. Eitreing NPV Expenses of this and Cuniatre hat STEP: 1 of 4 Suppose that Wasthington Co. is a U.S. based MNC that is considering acquiring a target firm in Canada. Washington is attempting to forecast the future cash flows of the target in order to estimate the targets value. Washington Co. managers have provided you with the revenue and cost of goods sold (Cocs)from the target over the past year, as well as projected revenue and cocs for the following three years. This data is summarized in the table, which shows that Washington believes that it can improve total revenue of the target over time, while also lowering coGs (as a percent of tokal revenue). flowing table with the gross profit of the targec firm for bast yeur, as well os vears one throuph three, in Canadun doflars (CS). in nullions: rotal scoseriole

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