V. International Aspect of Finance: 11. Solitaire Machinery is a Swiss multinational manufacturing company. Currently, Solitaire's financial planners are considering undertaking a 1-year project in the United States. The project's expected dollar-dominated cash flows consists of an initial investment of $1,000 and a cash inflow the following year of $1,200. Solitaire estimates that its risk-adjusted cost of capital is 14\%. Currently, 1 U.S. dollar will buy 1.62 Swiss francs. In addition, 1-year risk-free securities in the U.S. are yielding 7.25%, while similar securities in Switzerland are yielding 4.5%. The expected forward exchange rate 1 year from now is ....... A. 1.5785 SF per U.S. $ B. 1.62 SF per U.S. $ C. 1.85 SF per U.S. $ D. 1.368 SF per U.S. $ E. None of the above. 12. In question \# 15 , if Solitaire undertakes the project, its net present value and rate of return of the project will be ...... A. 52.63 Swiss francs and 20% respectively. B. 51.54 Swiss francs and 18.92% respectively. C. 41.54 Swiss francs and 16.92% respectively. D. 46.24 Swiss francs and 16.12% respectively. E. None of the above. 13. Early in September 1983, it took 245 Japanese yen to equal $1. In August 2002, that exchange rate had fallen to 121 yen to $1. Assume the price of a Japanese-manufactured automobile was $9,000 in September 1983 and its price changes were in direct relation to exchange rate. What would the dollar price of the automobile be in August 2002 ? A. $16,223.45. B. $18,223.14. C. $18,210.25. D. $17,245.45. F None of the ahove