VoWell, Inc., is a U.S.-based MNC whose British subsidiary earned 10 million in year 1 and 10 million in year 2. When these earnings are consolidated along with other subsidiary earnings, they are translated into U.S. dollars at the weighted average exchange rate for the year in question. Suppose the weighted average exchange rate is $1.70 in year 1 and $1.50 in year 2. That means VoWell earned consolidated earnings (translated to dollars) of $17 million in year 1 but only $15 million in year 2 (because of depreciation in the British pound during that year). Note that even though the subsidiary's earnings in pounds were the same each year, the translated consolidated dollar earnings were reduced by $2 million in year 2. The drop in earnings is not the fault of the subsidiary but rather of the weakened British pound, which makes the subsidiary's year-2 earnings look small when measured in U.S. dollars. Suppose the market valuation of VoWell's stock is usually near the mean P/E ratio in its industry multipl