In problem one, the assumption is the $ revalued against the rupee as indicated in the problem, and that the euro and the $ move together, in lockstep, in terms of the ER. Presuppose additionally, we know the euro and the $ revalue against the rupee by what is indicated in problem one, and the $ and euro continue to appreciate against the rupee for the next 20 years. Before we presupposed the sales to Europe do not alter due to the rupee depreciation. However, now we make a huge change in the assumptions. How would the results of problem one alter, if we assume that sales from India to Europe rise inter temporally for 20 years. Furthermore, presuppose the price elasticity of demand is - 4 for the product in Europe (how European customers see it.) Elaborate on the possible altered effect of the NPV of the Indian investment. (Presuppose, the US parent had an Indian affiliate selling to the European market but also to the Chinese market. Assume the sales from India to China are double what they are to Europe itself. How is the NPV of our Indian affiliate influenced with the new information.)