International Capital Budgeting
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Suppose that you do use your own views about exchange rates when valuing an overseas investment proposal. Specifically, suppose that you believe that the leo will depreciate by 2 percent per year. Recalculate the NPV of KW's project.
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The forecasted leos cash flows are converted into dollars at the spot rate that is forecast for each date. The current spot rate is 2 leos per ...
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- MBA, Indian Institute of Finance
- Bsc, Madras University
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