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Scenario A: Dow wins the bid and implements the investment plan as laid out in the case,but in December 2002, Argentina experiences serious economic turmoil.
Scenario A: Dow wins the bid and implements the investment plan as laid out in the case,but in December 2002, Argentina experiences serious economic turmoil. In response tothis crisis, the government takes actions that essentially force Dow to abandon its PBBinvestment (without compensation) early in January 2003. Project the (expected) cashflows under this scenario and compute the NPV of the entire PBB investment based on theprojected cash flows. Comment on the discount rate that you would use for this scenario
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