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Which currency has to be used in an international acquisition in order to calculate the flows?
It can be completed in the local currency or in the currency of the parent company. It seems more convenient to realize it in the local currency because, in order to do it in the currency of the parent company, one has to think the flows in the local currency and change them into the currency of the parent company.
Following details are related to three companies which are identical except in terms of ''r''. Company ABC Ltd. MNC Ltd. XYZ Ltd. Cost of capital 10% 10% 10% Earn per
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