International Financial Management

BRIEF CONTENTS PART I THE INTERNATIONAL FINANCIAL ENVIRONMENT.................................1 Chapter 1 Multinational Financial Management: An Overview.............................3 Chapter 2 International Flow of Funds........................31 Chapter 3 International Financial Markets...............................57 Chapter 4 Exchange Rate Determination...............................97 Chapter 5 Currency Derivatives........................117 PART II: EXCHANGE RATE BEHAVIOR.....................151 Chapter 6 Government Influence on Exchange Rates.......................153 Chapter 7 International Arbitrage and Interest Rate Parity............................189 Chapter 8 Relationships between Inflation, Interest Rates, and Exchange Rates..........................213 PART III: EXCHANGE RATE RISK MANAGEMENT..........................241 Chapter 9 Forecasting Exchange Rates...........................243 Chapter 10 Measuring Exposure to Exchange Rate Fluctuations..........................275 Chapter 11 Managing Transaction Exposure...............................305 Chapter 12 Managing Economic Exposure and Translation Exposure.................................341 PART IV: LONG-TERM ASSET AND LIABILITY MANAGEMENT..............................361 Chapter 13 Direct Foreign Investment.....................363 Chapter 14 Multinational Capital Budgeting........................381 Chapter 15 Multinational Restructuring........................417 Chapter 16 Country Risk Analysis..........................441 Chapter 17 Multinational Cost of Capital and Capital Structure............................471 Chapter 18 Long-Term Financing..................497 PART V: SHORT-TERM ASSET AND LIABILITY MANAGEMENT.......................521 Chapter 19 Financing International Trade...........................523 Chapter 20 Short-Term Financing......................545 Chapter 21 International Cash Management......................569 Appendix A Answers to Self-Test Questions.....................601 Appendix B Supplemental Cases..........................615 Appendix C Fundamentals of Regression Analysis.........................633 Appendix D Focus on an MNC.........................641 Glossary..............................645 Index...........................653