exam 2 page 3

exam 2 page 3 - I I I (d) 4 .00%p .a. 9. Some commodities...

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Unformatted text preview: I I I (d) 4 .00%p .a. 9. Some commodities lgygl_]gl}lgtinto rnternallonail@. Examples include : (a) Nontrad ables/ ,/ (b) H aircut" W . l (c) H ousing / E$it a ofthe bove 10. TE-inflaliorraie -r7 in Canada is now 4% less than Fbaf-iqJapan p p \purchasins ower arity, - t1a - Tgj6 F q Zf < \=**- - Based o n t he Trcg - ntrn T dollar will be traded with a 4Vo forward discount relative to Japaneseyen. dolla,r yen will be traded *ith _::-:gp.;[email protected]#J# @ -v' fl$ dollar will be traded with a 4% forwa,rdpremium relative to Japaneseyen. 11. / (a) Selecting Low Cost Production $i.tes w/ t'/ (b) Flexible Sourcing Policy (c) Diversification of the Market -/ Jta|gu o f t he a bove \-/ 12. It is cpryentional to classify foreign curreru*exposures into the fgllowingJlpes: r) t_gr.' at' /' n exposrue, t ransgctioii exposure, and tr anslafi-o -exposure "M^ " (b) economic exposure, operating exposure' and political exposure (") national exposrue, international exposure, and trade exposure (d) conversion exposure, and exchangeexposure ...
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This note was uploaded on 04/03/2012 for the course BUS 428 taught by Professor Xu during the Spring '11 term at Rhode Island.

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