Calculate the npv of the project in dollars

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The US based company is investing in a two year project in Europe. The initial investment is euro 10000. The expected cash inflow in the year one is 6000 euro. And the year two is 8000 euro. The risk free rate in US is 3% and Europe 2%. If the spot rate is $1.25/euro and the required rate of return of the project is 14%. Calculate the NPV of the project in dollars.

Reference no: EM132601605

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