Question: Question 3. (7 points) Determine the value the U.S. based MNC with the following free cash flow and exchange rate estimations. The MNC has operations

Question 3. (7 points) Determine the value the U.S. based MNC with the following free cash flow and exchange rate estimations. The MNC has operations in Bangladesh and India. Year 1 Year 2 Year 3 Year 4 Year 5 Expected Exchange rates USD vs INR 50 47 45 42 40 USD vs BDT 80 84 88 92 97 Expected free cash flows (in millions) India (in INR) 4000 4000 4000 4000 *40000 Bangladesh (in BDT) 8000 8000 8000 8000 80000 USA (in USD) 200 200 300 300 #3000 The firm has an overall cost of capital of 10% *present values of all the Expected future free cash flows at time t-year 5
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