1. Enumerate, with examples from publicly listed companies in US, the pros and cons of DFI.
Answer: FDI Inflows: Investment of a foreign company in the American market can provide new technologies,
capital, products, organizat
1. Discuss the appropriate discount rate for valuing bond.
Answer: The minimum interest rate that an investor should accept is the yield for a risk-free bond (a
Treasury bond for a U.S. investor). The Treasury security that is most of
10 November 2014
The picture above is an example of a rebate, where you get some money back after you have
purchased the item. This rebate, in my opinion, is a really good one. The rebate isn't a very much
compared to wha
Part 1: Chapter 1
1. Discuss the types of financial markets available and their functions.
Answer: Stocks and bonds. Financial markets facilitate the flow of funds and allow
financing and investing by households, firms, and governme
Problem 1: Assume the Hong Kong dollar (HK$) value is tied to the U.S. dollar and will remain tied to
the U.S. dollar. Last month, a HK$ = 16 JPY (Japanese Yen). Today, a HK$=20 JPY. Assume that there is
much trade in the computer industry amon
Problem 1: You just came back from India, where the Indian Rupee was worth $.015. You still have
INR 50,000 from your trip and could exchange them for dollars at the airport, but the airport foreign
exchange desk will only buy them for $.0125.
1. Explain why the stock price of a firm may rise when the firm announces that it is repurchasing
Answer: Stock repurchasing may can be a different way of paying dividends in that it is another
method of returning cash to
1. Dubas Co. is a U.S.-based MNC that has a subsidiary in Germany and another subsidiary in
Greece. Both subsidiaries frequently remit their earnings back to the parent company. The
German subsidiary generated a net outflow of 2,000,000 this ye
Yum! Brands INC
What is Yum! Brands INC?
Quick-service restaurants: Five Segments
41,000 Locations in 125 different countries
Second largest market share in U.S.A QSR.
Quick Snapshot Statistics
What is Manageme
Part 1: Chapter 6
1. Explain how the Treasury uses the primary market to obtain adequate funding.
Answer: The Treasury has some sort of auction that allows investors to bid. The highest
bids are accepted first, if investors submit a competitive