Questions from Financial Management

Q: What is the role of a factor in international trade transactions?

What is the role of a factor in international trade transactions?

Q: a. What is the role today of the Export-Import

a. What is the role today of the Export-Import Bank of the United States? b. Describe the Direct Loan Program administered by the Ex-Im Bank.

Q: What are bills of lading, and how do they facilitate international

What are bills of lading, and how do they facilitate international trade transactions?

Q: What is forfaiting? Specify the type of traded products for which

What is forfaiting? Specify the type of traded products for which forfaiting is applied.

Q: Briefly describe the role of the Private Export Funding Corporation (PEFCO

Briefly describe the role of the Private Export Funding Corporation (PEFCO).

Q: This chapter described many forms of government insurance and guarantee programs.

This chapter described many forms of government insurance and guarantee programs. What motivates a government to establish such programs?

Q: What is countertrade?

What is countertrade?

Q: Explain why an MNC parent would consider financing from its subsidiaries.

Explain why an MNC parent would consider financing from its subsidiaries.

Q: Greensboro, Inc., needs $4 million for one year.

Greensboro, Inc., needs $4 million for one year. It currently has no business in Japan but plans to borrow Japanese yen from a Japanese bank because the Japanese interest rate is 3 percentage points l...

Q: Assume that the U.S. interest rate is 7 percent

Assume that the U.S. interest rate is 7 percent and the euro’s interest rate is 4 percent. Assume that the euro’s forward rate has a premium of 4 percent. Determine whether the following statement is...