Exercises (exercises/ 80 points in total) Exercise 1. A company is considering expanding in Asia or LATAM, considering the following initial investments and expected future cash flows: The discount rate over 4 years is 8% US -500,000 100,000 Asia -325,000 80,000 125,000 85,000 150,000 90,000 175,000 95,000 Initial investment Year 1 Year 2 Year 3 Year 4 Calculate the present value of the sum of future cash flows, the net present value (NPV), Benefit cost ratio (BCR) and the internal rate of return (IRR) Advise on where it would be more profitable for the company to expand