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SUGGESTED ANSWERS AND SOLUTIONS TO END-OF-CHAPTER QUESTIONS AND PROBLEMS

TABLE OF CONTENTS

Chapter

1. Globalization and the Multinational Firm Suggested Answers to End-of-Chapter Questions 3
2. International Monetary System Suggested Answers and Solutions to End-of-Chapter Questions and Problems 12
3. Balance of Payments Suggested Answers and Solutions to End-of-Chapter Questions and Problems 17
4. The Market for Foreign Exchange Suggested Answers and Solutions to End-of-Chapter Questions and Problems 23
5. International Parity Relationships Suggested Answers and Solutions to End-of-Chapter Questions and Problems 33
6. International Banking Suggested Answers and Solutions to End-of-Chapter Questions and Problems 40
7. International Bond Markets Suggested Answers and Solutions to End-of-Chapter Questions and Problems 50
8. International Equity Markets Suggested Answers and Solutions to End-of-Chapter Questions and Problems 56
9. Futures and Options on Foreign Exchange Suggested Answers and Solutions to End-of-Chapter Questions and Problems 62
10. Currency and Interest Rate Swaps Suggested Answers and Solutions to End-of-Chapter Questions and Problems 70
11. International Portfolio Investments Suggested Answers and Solutions to End-of-Chapter Questions and Problems 78
12. Management of Economic Exposure Suggested Answers and Solutions to End-of-Chapter Questions and Problems 87
13. Management of Transaction Exposure Suggested Answers and Solutions to End-of-Chapter Questions and Problems 94
14. Management of Translation Exposure Suggested Answers and Solutions to End-of-Chapter Questions and Problems 111
15. Foreign Direct Investment Suggested Answers and Solutions to End-of-Chapter Questions and Problems 125
16. International Capital Structure and the Cost of Capital Suggested Answers and Solutions to End-of-Chapter

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