FINANCE 340

INTERNATIONAL FINANCE

DePaul University Mr. Randy Fisher

Spring Quarter, 2011 Office: DePaul Center 6136
Office Phone: (312) 362-8785
Office Hours: Wednesdays: 3:00 – 5:30 P.M.
and by appointment
Email: rfisher3@depaul.edu

Required Materials:

Madura, International Financial Management, South-Western College Publishing Company, 10th Edition, 2010.
The Study Guide for this text is not recommended.

A financial calculator. I recommend using either the Hewlett-Packard 12C or the Texas Instruments BAII Plus, as
these are the only calculators allowed on the CFA (Chartered Financial Analyst) examination. They are available
at the University Bookstore. Programmable, text based calculators (including the TI-83), PDAs, and cell phones
are not permitted.

Course Objective:

To introduce the student to the principles and applications of international corporate financial management. The
first half of the course will focus on the development of these principles, while the second half will be devoted
to their application.

Class Preparation:

It is necessary for you to complete all of the reading and homework assignments prior to the class meetings. A
commitment of 10 hours per week is required. Always review your class notes before attending the next
class. The exams will rely heavily on the examples and concepts developed in class.

Grading Policy:

Midterm 1 25%
Midterm 2 25%
Final 25%
Quizzes 10%
D2L Participation 10%
Homework 5%
Extra Credit Presentation up to 5 extra points
Attendance Extra Credit up to 3 extra points

All examinations are cumulative. Tests may consist of multiple choice, short answer, numerical problems and
essay. In cases of severe illness or other extreme circumstances, a student may take a makeup exam, although
makeup exams will always be significantly more difficult.
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Mr. Randy Fisher

Discussion board postings receive the following points:

Monday 4 points
Tuesday 4 points
Wednesday 4 points
Thursday 4 points
Friday 3 points
Saturday 2 points
Sunday 1 point

Each week you must answer a fellow student’s discussion board question to the best of your ability to receive
full credit for the discussion board postings. Group discussion board postings receive a maximum of 10 points
per week and a maximum of 4 postings per week. The purpose of the group discussion board is to facilitate
group study. Since most students live off-campus, face-to-face group study is not feasible. The D2L group
study forum is the next best thing. In determining what a “meaningful post is, ask yourself the following
question: “If I were in a study group with my fellow students in preparation for homework or examinations,
would this question or answer be helpful to my fellow students?” Newsworthy items should be posted in the
general discussion forum and will be discussed in class if appropriate. Postings in the general discussion
forum do not receive credit.

All quizzes, homework and discussion board postings must be submitted prior to Midnight, Sunday.
Homework must be submitted on the discussion board as a posting. Copy and paste your answer from
Word or Excel onto a posting. Do not submit your homework as an attachment. You will have multiple
chances to take each quiz, but the last quiz must be completed before Midnight on Sunday.

We will be solving problems together in class, so you must bring your calculator to each class. Students may not
share calculators on exams. Please be sure to check your batteries before exams.

Test grades and final grades will be determined on the following scale:
A = 93-100%; A- = 90-92%; B+ = 87-89%; B = 83-86%; B- = 80-82%; C+ = 77-79%;
C = 73-76%; C- = 70-72%; D = 60-69%; F = 0-59%

Disability Statement:

Students who feel they may need an accommodation based on the impact of a disability should contact me
privately to discuss their specific needs. All discussions will remain confidential.

To ensure that you receive the most appropriate accommodation based on your needs, contact me as early as
possible in the quarter (preferably within the first week of class), and make sure that you have contacted the:

• PLuS Program (for LD, AD/HD) at 773-325-8656 in SAC 220, or

• The Office for Students with Disabilities (for all other disabilities) at 773-325-7290 in Student Center
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Mr. Randy Fisher

Academic Integrity:

DePaul University is a learning community that fosters the pursuit of knowledge and the transmission of
ideas within a context that emphasizes a sense of responsibility for oneself, for others and for society at large.
Violations of academic integrity, in any of their forms, are, therefore, detrimental to the values of DePaul, to
the students’ own development as responsible members of society, and to the pursuit of knowledge and the
transmission of ideas. Violations include but are not limited to the following categories: cheating;
plagiarism; fabrication; falsification or sabotage of research data; destruction or misuse of the university’s
academic resources; alteration or falsification of academic records; and academic misconduct.

Cheating is any action that violates University norms or an instructor’s guidelines for the preparation and
submission of assignments. Such actions may include using or providing unauthorized assistance or
materials on course assignments, or possessing unauthorized materials during an examination. Students
found looking at their neighbors exams during testing will be asked to leave without finishing the exam
and will receive a failing grade for the course.

Plagiarism involves the representation of another’s work as your own, for example: (a) submitting as one’s
own any material that is copied from published or unpublished sources such as the Internet, print, computer
files, audio disks, video programs or musical scores without proper acknowledgement that it is someone
else’s; (b) paraphrasing another’s views, opinions or insights without proper acknowledgement or copying of
any source in whole or in part with only minor changes in wording or syntax even with acknowledgement;
and/or (c) submitting as one’s own work a report, examination, paper, computer file, lab report or other
assignment which has been prepared by someone else. If you are unsure about what constitutes unauthorized
help on an exam or assignment, or what information requires citation and/or attribution, you may consult
with me.

Violations may result in the failure of the assignment, failure of the course, and/or additional
disciplinary actions.

Conduct that is punishable under the Academic Integrity Policy could result in additional disciplinary actions
by other university officials and possible civil or criminal prosecution. Please refer to your Student
Handbook or visit http://studentaffairs.depaul.edu/homehandbook.html for further details.
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Spring Quarter, 2011 (Syllabus)
Mr. Randy Fisher

COURSE OUTLINE

3/28 Chapter 1 Introduction to International Financial Management

3/30 Chapter 2 International Flow of Funds

4/4 Chapter 4 Exchange Rate Determination

4/6 Chapter 3 International Financial Markets

4/11 Chapter 6 Government Influence on Exchange Rates

4/13 MIDTERM EXAMINATION 1

4/18 Chapter 7 International Arbitrage and Interest Rate Parity

4/20 Chapter 8 Relationships among Inflation, Interest and Exchange Rates

4/25 Chapter 10 Measuring Transaction Exposure

4/27 Chapter 5 Currency Derivatives

5/2 Chapter 11 Managing Transaction Exposure

5/4 Review for Midterm 2

5/9 MIDTERM EXAMINATION 2

5/11 Chapter 12 Measuring Economic and Translation Exposure

5/16 Chapter 12 Measuring Economic and Translation Exposure (Cont.)

5/18 Chapter 14 Multinational Capital Budgeting

5/23 Chapter 16 Country Risk Analysis

5/25 Chapter 17 Multinational Cost of Capital and Capital Structure

6/1 Review for Final Examination

6/6 (11:45 A.M – 2:00 P.M.) FINAL EXAMINATION

This syllabus is tentative, and subject to change. Any variations will be announced in class.