Minimal Limited, a Swedish company is a chocolates and health snacks producer. The company is considering to open a new manufacturing facilities in South East Asia. After a thorough analysis, the choice of country has narrowed down to Malaysia and Thailand. The current Swedish Krona (SEK) is priced at MYR0.4338 and THB3.1375 respectively. Assume that Sweden does not impose any tax on the remittances by the subsidiary to the parent company.

Expected inflation rate in Sweden	3%
Expected inflation rate in Malaysia	2.5%
Expected inflation rate in Thailand	1.2%
WACC of Minimal Limited	12%
Withholding tax in Thailand	5%
Witholding tax in Malaysia	4%

a) The subsidiary is required to pay 5% of the subsidiarys annual sales. The expected sales in Thailand and Malaysia is expected to be THB2,000,000 and MYR300,000. The sales is expected to grow at 6% annually in Thailand and 5% in Malaysia per year until the end of year 2. Compute the present values of the 2-year license fees in SEK for the parent company from potential subsidiaries in Thailand and Malaysia.