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International Finance

Hedging Strategies Using Futures and Currency Swaps

See the attached file. The sample period for this project is from 10/10/2012 to 11/13/2012. Case 2. At the start of the sample period, you receive 125,000 Euros, which you plan to sell at the end of sample period. Since the foreign exchange rate fluctuates, the value at the end of the sample period is uncertain. You

Derivative Instruments

What is the difference between a contango market and a backwardation market? What exactly is meant by a basis? Are there any ethical concerns that need to be addressed when using derivative instruments?

Two Important Concepts in International Finance

Identify and briefly discuss two important concepts applicable to international finance. For example, the foreign currency risk can be mitigated through forward foreign exchange contract, currency swaps, etc. I need about three to five sentences to answer this question. Thank you. (Answer provided in less than 100

Global Financial Crisis

I've identified a selection of financial crisis that I wish to examine. Can you help me by briefly explaining each crisis below, what each crisis was about, what caused them, how each were resolved and what lessons can be learned from them? A. Debt Crisis: 1. Russia - 1997 2. Iceland - 2008 3. Greece -2012

Investing in a Multinational Company

Research a large multinational company in which you might like to invest. Then determine the most significant risk factors associated with investing in the company you selected when compared with investing in a domestic company. Provide specific examples to support your response.

Financial Analysis for a U.S. publicly traded company

I need help in responding to the questions below as a financial analyst researching the U.S. publicly traded company Priceline, in which to invest and perform a financial analysis. 1. Provide a detailed overview of the U.S. publicly traded company, Priceline. This should be 3 pages. 2. Evaluate the company's vulnerability to

Marketing Communications Strategy

I need assistance to compare and contrast the marketing communication strategies between Kenya (domestic) and Botswana (international market), and explain the differences.

Minor Interests in International Markets

Case A: You are an executive in a large domestic company with only minor interests in international markets; however, corporate plans call for major global expansion. Visit the home page of Control Risks Group (CRG) at After thoroughly familiarizing yourself with the services offered by CRG, write a b

Money Market Hedge

Assume that Hester Company has net payables of 500,000 Mexican pesos that are due in 180 days. The interest rate in Mexico is 8 percent over 180 days, and the U.S. interest rate is 4 percent over 180 days. The spot rate of the Mexican peso is $0.10. Describe the steps to take for a money market hedge. You need to show clear

Rosen Corporation sells both home and in foreign countries

Rosen Corporation sells both home and in foreign countries. The firm finds that a change in the exchange rate has a greater impact on cash outflows than on cash inflows. In order to reduce economic exposure, what would you recommend regarding the volume of sales to foreign countries? Explain the reason for your recommendation.

Direct, Sterilized and Non-Sterilized Intervention

Direct, Sterilized and Non-Sterilized Intervention: a. If most countries in Europe experience a recession, how might the European Central Bank use direct intervention to stimulate economic growth? b. Explain the difference between sterilized and non-sterilized intervention.

Discuss the following trade controls: Tariffs, subsidies, and quotas. How do these trade controls affect the relationship of trading partners and what is their value in international business 2. What is a fixed exchange rate and what is a flexible exchange rate? China currently has a fixed exchange rate pegged to the US Dollar. How would a flexible exchange rate help China's global business?

1. Discuss the following trade controls: Tariffs, subsidies, and quotas. How do these trade controls affect the relationship of trading partners and what is their value in international business. 2. What is a fixed exchange rate and what is a flexible exchange rate? China currently has a fixed exchange rate pegged to the US

International Financial Management (Discussion)

Some critics, particularly U.S. politicians, have argued that China is keeping the exchange rate of its currency (the yuan) artificially low as a form of trade protectionism resulting in large trade surpluses with the U.S. China might argue that its large trade surpluses with the U.S. is due mostly to the very low factor costs i

Zara: It For Fast Fashion

What assumptions can we take regarding the "Zara: It For Fast Fashion" What decision options does Salgado have in the Zara case? What criteria is important to making this decision? List 5 of the most important concepts or knowledge that you gained from this case. Zara: IT for Fast Fashion By Andrew Mcafee, Vincent D

GAAP question

Following is a link to an article discussing the accounting rules related to stock options including SFAS 148 which is the most recent standard that applies to valuing stock options. Is the intrinsic value method is still an allowable method for valuing stock options under GAAP?

Madden International Strengths and Weaknesses of the Budgeting and Control System.

Madden International is a large ($7 billion sales), successful international pharmaceutical : operating in 23 countries with 15 autonomous subsidiaries. The corporate office consists of five i presidents who oversee the operations of the subsidiaries. These five vice presidents report to 1 executive vice presidents, who in turn

Sprint's Website: A Critique

Critique sprints website by the following dimensions: 1. aesthetic appeal. 2. interactiveness. 3. currency of the information. 4. information value. 5. user friendliness.

Airbus' Plant Relocation

This week, Airbus announced it was building a new plant in Alabama. Can you assist me in answering the following questions based on information in conjunction with Foreign Direct Investment. Think about the implications and strategy that Airbus has taken in moving a large plant to the U.S. given that Airbus' major competitor in

Foreign Exchange for Present Organizations

What is meant by foreign exchange risk? What specific problems does foreign exchange present in an organization? How may an organization that needs euros in 6 months protect itself from currency fluctuations?

financial, ethical, or personnel dilemmas for U&L

I need some help getting started with the following task: Background: Today, U&L services companies throughout the United States and Canada. U&L has increased its services to include rental, lease, and direct purchase programs. The rental program includes pickup and delivery, laundry, inspection, repair, maintenance, and r

Eurozone Assured of Bail Out Process and Value of the Euro

This information will be use for information purposes only. The Eurozone has some countries with severe debt problems: Portugal, Ireland, Italy, Greece and Spain, sometimes known as PIIGS. These Euro countries are looking for and have been assured of a "bail-out" process so that no one defaults on their debt. What do you now

The American International Bank Case

THE AMERICAN INTERNATIONAL BANK CASE * Summary of the Situation Tamara Long sat in her office reflecting on the tough past 6 weeks. She was the head of the international department at the American International Bank (AIB). Six weeks ago, the Chairman of the bank had called Tamara into his office. A bulletin had just come ov

Public Finance for Corporate Income Tax

Suppose the corporate income tax were eliminated and the revenue lost was made up by increasing the payroll tax rate on labor earnings. What would be the impact on labor and capital markets of such a shift in tax policy? What is the likely differential incidence of substituting a payroll tax for an equal-yield corporate income t

Planning a Trip

Country chosen is England, bussiness chosen is clothing company called Zshirts. Task: Plan the Itinerary & estimate the cost of a business trip from your location to a foreign location (not Canada or Mexico or a country that pegs directly to the USD or uses the USD as their currency) for a 3-day meeting with a foreign partner


Discuss how influential you believe the IASB is over FASB. Discuss whether or not you support the U.S. adopting International Financial Reporting Standards for publicly traded companies.