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Select options: a) (should/should not) b) (1, 2, or 3) c) (the new zealand bank/the parent) and (less/more) f) (more/less) and (should/should not) please show

Select options:
a) (should/should not)
b) (1, 2, or 3)
c) (the new zealand bank/the parent) and (less/more)
f) (more/less) and (should/should not)
please show with steps thanks :)
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image text in transcribed
Wolrerine Corp, pirrently has no exseing business in New Zealand but is considering eltablishing a subsidlary there. The following information has been gathered to assess this project: on the laan each year, at as interest rate of 16 percent. The ioan principal is to be paid in 12 vears - The peoject wir be terminated at the end of vear 3 , when the subsidary wil be sold. - The price, demand, and variabie cost of the product in New Zealand are as follows: so. 60 at the end of year 3. a tax credit on the remitted earnings and wit not impose amy addatienal taxes. milan - Woherine regures a 21 parcent note of return on this project. 1 Shoide Woiverice accesh teis project? stermuthe arrangement. Oo not round intermediate calculations. Round your answer to the nearest dellar. Negative velue should be indicated by a minus sign, if any. s Is the wlemative fonanding arrangement moce feasibie for the parent than the original pcoposa? Explain. I. Yes, the akernative finating arrangemient is expected to generate o higher net present value than the original finaneing arrangement: III. No, the alternative financing arrangement is expected to generate a fogative net present value. more of lis own foncs to cover the working capatal? Explain. The tipy would be more iensitive to exchange nate movements it the sueviary's working eapital it financed by the intereat porments on debt. because there mould be doliars to bet converted to Nz's to cover 1 intermedate cilculetions. Rouns your shawer to the nesrest New Znaland dolis: nets intermedote tabolations. Round pour answer te the nearest doliar: Present vive of forgofe cash fousi: 1 Since tite by is Than 13M000,000 in proceed from the divestiore; the irujed be divemes

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