Course Code Course Title Assignment Code Coverage

TUTOR MARKED ASSIGNMENT : IBO 06 : International Business Finance : IBO 06/TMA/2013-14 : All Blocks Maximum Marks: 100

Attempt all the questions 1. (a) Has W.T.O succeeded in achieving its objectives? Explain its achievements and failures. (b) How did Euro markets grow? What functions do they perform? (10+10) 2. (a) Discuss the importance of International Cash Management. (b) Explain the different approaches to assess political risk.

(10+10)

3. (a) Describe the different types of currency risk. (b)What is economic exposure? Under what circumstances economic exposure is likely to exist? (10+10) 4. (a) How is exchange rate determined by purchasing power parity? (b) Discuss the long term sources of external finance for MNCs?

(10+10)

5. What is project export and service export? Explain various financial and non financial benefits of project export. (5+15)

Solution
1. (a) Has W.T.O succeeded in achieving its objectives? Explain its achievements and failures. Solution: (b) How did Euro markets grow? What functions do they perform? Solution: (10+10)

2. (a) Discuss the importance of International Cash Management. (b) Explain the different approaches to assess political risk.

(10+10)

3. (a) Describe the different types of currency risk. (b)What is economic exposure? Under what circumstances economic exposure is likely to exist? (10+10) 4. (a) How is exchange rate determined by purchasing power parity? (b) Discuss the long term sources of external finance for MNCs?

(10+10)

5. What is project export and service export? Explain various financial and non financial benefits of project export. (5+15)