Question: Question Ask a new Question Based on PAGINAS AMERICAS case study Replicate the calculation of the forecasted exchange rates and forecasted free cash flows in

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Based on PAGINAS AMERICAS case study

  1. Replicate the calculation of the forecasted exchange rates and forecasted free cash flows in US dollars for Argentina, Brazil and Chile.A
  2. Please estimate required rates of return (WACC) for the cash flows originating in Argentina, Brazil, and Chile from a local perspective and from a US $ perspective.
  3. In this case, why doesn't J.P. Morgan discount local cash flows at a local required rate of return?In fact, why not use that approach in general?
  4. Please estimate a long-term perpetual growth rate for businesses in Argentina, Brazil and Chile.

5.Based on your analysis what is a reasonable range of values for Brasil Investimentos' yellow pages business using local rates of return and using US rates of return?What key assumptions underlie your suggested value range.

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