Start Discovering Solved Questions and Your Course Assignments
TextBooks Included
Active Tutors
Asked Questions
Answered Questions
What are some of the major issues involved in financing trade between your country (China) and the U.S.?
Foreign direct investment is very risky and companies may end up losing money in the global market.
Does the change in exchange rates result in U.S. consumers paying more or less for goods imported from China? Explain.
What are the major features of the Foreign Corrupt Practices Act (FCPA)?
Ques tion 1. What are the infrastructure-related challenges faced by Adesemi? Question 2. What are the political/governmental challenges?
How does ISO in terms of manufacturing relate to an industry that only offers services? How do you think 'standardization' would be imparted to the customer?
Propose the connection between the balance of payments framework and exchange rates.
There are arguments for and against the alternative exchange rate regimes a. List the advantages of the flexible exchange rate regime.
Of the various exchange rate combinations, which do you favor and why? Is your view the same when you add local inflation to the budgeting process?
Discuss the benefits and possible costs of using this kind of incentive compensation scheme.
Foreign exchange rates are used to establish budgets and track actual performance.
How would you explain the concept of interest rate parity? Please provide the rationale for its possible existence.
Discuss and critique the common methods for controlling translation exposure.
All hedging relationships must be "highly effective" to qualify for special financial treatment.
Develop some of the motives for Direct Foreign Investment.
The WACC that should be used in capital budgeting is the firm's marginal, after-tax cost of capital. Why do you think this is a true statement?
Describe general difference between the capital structures of firms based in the United States and those of firms based in Japan.
Who in your point of view should be in charge of the political risk management and how should that strategy be handled?
Discuss the different ways political events in a host country may affect local operations of an MNC.
Would you recommend that it uses convertibles or bonds with warrants? What factors would influence your decision?
Explain how the MNC's optimization of cash flow can distort the profits of each subsidiary.
Define foreign exchange exposure for a firm. Is a purely domestic firm subject to some foreign exchange exposure? If yes, why?
What should the $/euro rate have been on June 1 for the UK investor to make the same profits as the US investor?
Do you think it is possible to block short term portfolio money flows while still making a country attractive to long term direct investors?
Assess the benefits and costs of using swap arrangements with financial futures contracts as a tool for managing the companies risk.