units

AFW2341

Faculty of Business and Economics

Monash University

Undergraduate - Unit

This unit entry is for students who completed this unit in 2012 only. For students planning to study the unit, please refer to the unit indexes in the the current edition of the Handbook. If you have any queries contact the managing faculty for your course or area of study.

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6 points, SCA Band 3, 0.125 EFTSL

Refer to the specific census and withdrawal dates for the semester(s) in which this unit is offered, or view unit timetables.

LevelUndergraduate
FacultyFaculty of Business and Economics
OfferedSunway Second semester 2012 (Day)
Peninsula Second semester 2012 (Day)

Synopsis

Topics covered include multinational firms and globalisation; foreign direct investment; political risk; foreign exchange markets; currency derivatives (currency options and forward contracts); measuring and managing transaction exposure; cost of capital and capital structure for multinational firms; fundamentals of capital budgeting; international capital budgeting and exchange rate effects; international cash management; transfer pricing and international tax strategies.

Outcomes

The learning goals associated with this unit are to:

  1. discuss the international financial environment and the importance of foreign exchange risk management
  2. discuss important financial management issues and their application to financial management of multinational firms
  3. discuss foreign exchange market mechanisms and explain how markets can be used to hedge foreign currency transaction exposure
  4. apply capital budgeting techniques in the context of a multinational firm
  5. apply critical thinking, problem solving and presentation skills to individual activities dealing with international financial management and demonstrate in an individual summative assessment task the acquisition of a comprehensive understanding of the topics covered by AFW2341.

Assessment

Within semester assessment: 30%
Examination (3 hours): 70%

Chief examiner(s)

Jothee Sinnakkannu

Contact hours

3 hours per week

Prohibitions

AFC3240, AFW3331