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Discuss the different positive and negative impacts of financial conglomerate on international cash flows.
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- If you are the CFO of a multinational company. What steps could you take to minimize international risk? Describe how cash flows are used to minimize political risk.What are the cultural difference factors that affect international financial management?What are the differences in economic systems that affect international financial management?
- Discuss two general functions involved in international cash management and explain how the MNC’s optimization of cash flow can distort the profits of a subsidiary that is based in North America.Question:2 , Which of the following factors are likely to decrease the weighted average cost of capital for a multinational corporation compared to a domestic firm? Check all that apply: Exposure to country risk International diversification Exposure to exchange rate risk Access to international capital markets Large size Submit.............What are the languance difference factors that affect international financial management?
- Firms use a variety of methods to conduct business internationally. Consider the case of an MNC conducting international business via the use of international trade. When this method of conducting international business is used, cash inflows come from ? while cash outflows flow to ? .How can the optimization of a mutltinational corporation cash flow distort the profits of a subsidiary that is based in North America?1. Explain the differences and similarities between Forward, Futures, andOptions. Then why can there be a Long Term Funding Deficit related to a company's cash flows? and Explain the meaning of international parity conditions, and why it can be used to predict exchange rates. and what is the meaning of foreign exchange exposure and types of foreign exchange exposure faced by multinational companies.
- What is the importance of International Financial market ? How does it facilitate business transaction ?In an attempt to manage economic exposure, the following are examples of diversifying operating cash flows, EXCEPT: A) Diversification of sales across different countries B) Locating manufacturing facilities is various countries C) Issuing bonds in foreign countries D) Buying raw materials from more than one country PWhat are the relevant cash flows for an international investment—the cash flowsproduced by the subsidiary in the country in which it operates or the cash flows indollars that it sends to its parent company? Explain.
