AFF5140

International finance

Mr Ghassan Hossari and Mr Brendan O'Connell

6 points
* 39 hours per semester
* First, second, summer semester
* Caulfield, Sydney, Singapore, Hong Kong (not offered in all locations in all semesters)

Objectives On completion of this subject students should be able to assess the theory of international parity conditions; appreciate the valuation of currency options; understand the theory of interest rate parity; derive measurements to the three types of exposure; manage these three types of exposure; understand the various influences on optimum financial structure and cost of capital; appreciate direct foreign investment; assess political risk; evaluate the capital budgeting process; manage the firm's working capital; understand trade financing techniques.

Synopsis Lectures on the topics listed above with reference to textbooks as well as refereed journal articles.

Assessment Two assignments (2000- 3000 words): 25% each
* Examination (3 hours): 50%

Prescribed texts

Eiteman D K and others Multinational business finance 7th edn, Addison Wesley, 1995