Frank F.X. Gong, chief economist for China at J.P. Morgan has forecast that the Yuan will rise to 7.74 Yuan /$ by the end of 2005 and to 7.2 Yuan/ $ by the end of 2006 . If the after-tax cashflows generated by the two-year, U.S. based project are $12 million at the end of 2005 and $14 million at the end of 2006 , and the Chinese cost of capital is 15%, what is the NPV of this project in Yuan? Assume the initial investment in the project is 100 million Yuan. [Hint: Convert dollar cashflows into yuan cashflows and then calculate the NPV] 59.9 million Yuan 57 million Yuan 156.9 million Yuan 97 million Yuan