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Describe any disadvantages of this idea that would avoid the tariff 1. Your business provides CDs for free to customers who pay for the English courses that you offer in Mexico. You consider the idea of mass production of the CDs in the U.S., so that you can sell (export) them to distributors or to retail stores throughout Mexico. You would price the CDs in dollars when exporting them. The CDs are not as effective without the teaching, ...

Other / Other 22 Apr 2016

Explain how your business would likely be affected One of the best methods of learning broad concepts in this text is to put yourself in the place of an MNC manager or board member, and apply the concepts to make financial decisions. Board members do not normally make the decisions that are discussed here, but must have the conceptual skills to monitor the policies that are implemented by the MNC’s managers. Thus, they must freq ...

Other / Other 22 Apr 2016

What is the expected effective financing rate of the total amount of funds Kent Company is a large U.S. firm with no international business. It has two branches within the U.S., an eastern branch and a western branch. Each branch presently makes investing or financing decisions independently, as if it was a separate entity. The East branch has excess cash of $15 million to invest for the next year. It can invest its funds in Treasury b ...

Other / Other 22 Apr 2016

Are Hofstra’s short-term investments well diversified 1. Diversified Investments. Hofstra, Inc., has no European business and has cash invested in six European countries, each of which uses the euro as its local currency. Are Hofstra’s short-term investments well diversified and subject to a low degree of exchange rate risk? Explain. 2. Investing Strategy. Should McNeese Co. consider investing funds in Latin America co ...

Other / Other 22 Apr 2016

Determine the possible effective yields of the portfolio 1. Effective Yield of Portfolio. Ithaca Co. considers placing 30% of its excess funds in a one-year Singapore dollar deposit and the remaining 70% of its funds in a one-year Canadian dollar deposit. The Singapore one-year interest rate is 15%, while the Canadian one-year interest rate is 13%. The possible percentage changes in the two currencies for the next year are forecasted as ...

Other / Other 22 Apr 2016

Mexican interest rates are normally substantially higher than U.S. interest One of the best methods of learning broad concepts in this text is to put yourself in the place of an MNC manager or board member, and apply the concepts to make financial decisions. Board members do not normally make the decisions that are discussed here, but must have the conceptual skills to monitor the policies that are implemented by the MNC’s manager ...

Other / Other 22 Apr 2016

Discuss the general functions involved in international cash 1. International Cash Management. Discuss the general functions involved in international cash management. Explain how the MNC’s optimization of cash flow can distort the profits of each subsidiary. 2. Netting. Explain the benefits of netting. How can a centralized cash management system be beneficial to the MNC? Business Management Assignment Help, Business Man ...

Other / Other 22 Apr 2016

Explain how you would derive a required rate of return for your capital budgeting One of the best methods of learning broad concepts in this text is to put yourself in the place of an MNC manager or board member, and apply the concepts to make financial decisions. Board members do not normally make the decisions that are discussed here, but must have the conceptual skills to monitor the policies that are implemented by the MNC’s m ...

Other / Other 22 Apr 2016

State what information each ratio is providing to the company Figure 16-7 Kooper Co. Income Statement For the Year Ended December 31, 2013 Revenues: Net sales $383,000 Less: Cost of goods sold $121,700 Gross margin 261,300 Less: Operating expenses Selling expenses 41,500 Administrative expenses 56,500 Interest expense 12,000 Total expenses 100,000 Net income $ 151,300 Kooper Co ...

Other / Other 22 Apr 2016

Would your business be more exposed to exchange rate risk One of the best methods of learning broad concepts in this text is to put yourself in the place of an MNC manager or board member, and apply the concepts to make financial decisions. Board members do not normally make the decisions that are discussed here, but must have the conceptual skills to monitor the policies that are implemented by the MNC’s managers. Thus, they must ...

Other / Other 22 Apr 2016