BFW2341 - International financial management - 2017

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.

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 BFW2341.

Within semester assessment: 40% + Examination: 60%

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. The unit requires on average three/four hours of scheduled activities per week. Scheduled activities may include a combination of teacher directed learning, peer directed learning and online engagement.

See also Unit timetable information

Dr Jothee Sinnakkannu

AFC3240, BFC3240, AFW3331, BFW3331, AFW2341