| 1.
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Describe the international monetary system including the International
Monetary Fund, the World Bank, and Eurocurrency. (I)
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| 2.
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Describe the most common methods of international payment and
collections, including a letter of credit. (II)
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| 3.
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Describe the growth and regulation of international banking. (II)
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| 4.
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List sources for funds for multinational corporations. (III)
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| 5.
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Describe the operation of a foreign exchange market. (III)
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| 6.
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Define terminology associated with foreign exchange rates (spot rates,
forward exchange rates, freely fluctuating rates, etc.). (III)
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| 7.
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List the factors that influence foreign exchange rates and identify
relationships, such as interest rate parity, that are used to predict
or explain foreign exchange rate behavior. (IV)
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| 8.
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Describe the effects of change of foreign exchange rates on a
multinational corporation (financial statements, payments made or
received, and firm's perceived value). (IV)
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| 9.
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Describe ways to manage foreign exchange risk, including balance sheet
hedging, forward market hedging, money market hedging, and
diversification. (IV)
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