Lakonishok Equipment has an investment opportunity in Europe. 10.5 million and is expected to produce cash flows of 3.7 million in Ye costs ar 1, 3.4 million The project ear 2, current risk free rate in the United States is 3.1 percent, compared to that in Europe of 2.2 percent. The appropriate discount rate for the project is estimated to be 13 percent the U.S. cost of capital for the company. What is the NPV of the project in euros? and E3.3 million in Year 3. The current spot exchange rate is .92/$ and the