Problem
Suppose that next year a worldwide recession is expected and Livingston Co.(from the previous question) believes that cash flow from it's U.S. operations will drop to $100 million. The Korean subsidiary's cash flows are forecast to remain the same (at 100 million Korean won), but the subsidiary plans to reinvest half of its cash flows into operations and remit half to the U.S. parent. The expected value of the won remains at $.0012. What are expected total $ cash flows to the U.S. parent for next year?