Spring 2011(Feb-July)

Master of Business Administration - MBA Semester 4

Subject Code – MF0006
Subject Name – International Financial Management
2 Credits
(Book ID: B0889)
Assignment Set- 1 (30 Marks)
Note: Each question carries 10 Marks. Answer all the questions.
Q.1 Explain briefly the different exchange rate regime that are prevalent today.
Q.2 What is arbitrage? Explain with the help of suitable example a two-way and a three way
arbitrage.
Q.3 You are given the following information:
Spot EUR/USD : 0.7940/0.8007 Spot USD/GBP: 1.8215/1.8240
Three months swap: 25/35
Calculate three month EUR/USD rate.
Master of Business Administration - MBA Semester 4
Subject Code – MF0006
Subject Name – International Financial Management
2 Credits
(Book ID: B0889)
Assignment Set- 2 (30 Marks)
Note: Each question carries 10 Marks. Answer all the questions.
Q1. What is meant by BOP? How are capital account convertibility and current account
convertibility different? What is the current scenario in India?
Q2. What are foreign exchange markets? Who are the players in the foreign exchange market?
What is meant by exchange rate quotations?
Q3. Distinguish between Eurobond and foreign bonds? What are the unique
characteristics of Eurobond markets?