Question: Compute the NPV in Euros by translating the project's future peso cash flows into Euros at expected future spot exchange rates. Note that Groupe Ariel's

Compute the NPV in Euros by translating the project's future peso cash flows into Euros at expected future spot exchange rates. Note that Groupe Ariel's Euro hurdle rate for a project of this type was 8%, assume that inflation rates are expected to be 7% in Mexico and 3% in France.

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