You are a U.S. investor trying to calculate the present value of a ¥10 million cash flow that will occur one year in the future. The spot exchange rate is ¥110/$ and the one-year forward rate is ¥105.8095/$. The appropriate dollar cost of capital for this cash flow is r $

* = 5% and the appropriate yen cost of capital for this cash flow is r ¥

* = 1%. What is the dollar present value of the ¥10 million cash flow from the standpoint of a Japanese investor? What is the present value of the ¥10 million cash flow from the standpoint of a U.S.

investor who first converts the ¥10 million into dollars and then applies the dollar discount rate?