International Finance
Understanding International Finance through an Integrated MNC Case Study
Case: Edific Engineering Ltd. (India) Edific Engineering Ltd., an Indian multinational company, exports industrial machinery…
Hedging: A Tool to Manage Foreign Currency Risk
Students, suppose you are working in the treasury department of an MNC. Your company enters…
Understanding Purchasing Power Parity (PPP) in Foreign Exchange Transactions
Purchasing power parity (PPP) is an economic theory of exchange rate determination. It states that…
Understanding Transaction and Translation Risk Adjustments in Financial Statements
Translation Exposure: The translation exposure is also called accounting exposure or balance sheet exposure. Translation…
Understanding Operating Risk Adjustments in Financial Statements
A firm dealing with foreign exchange may be exposed to foreign currency exposures. The exposure…
Financing through the International Equity Market
Depository Receipt (DR) is used as means in the international capital market to raise fund…
Financing through the International Debt Market
International capital markets refer to financial markets that facilitate the buying and selling of financial…
Letter of Credit (LC) in International Transactions
A letter of credit is essentially a financial document issued by a bank that guarantees…
Dealing in Foreign Exchange through Nostro, Vostro and Loro
Cross-border payments play a key role in international business. To facilitate dealing in foreign exchange,…
Arbitrage Learning in Business Strategy
In theory, a given currency should carry the same price in different locations/markets. However, market…
Cross Rate Application in Business Scenarios
A cross rate is the currency exchange between two currencies where neither are the official…
Exchange Rates: Concepts and Real-World Applications
Foreign exchange quotation is the amount of currency that is exchanged for a unit of…
Different Forms of International Business through the BOP Framework
International Business (IB) refers to the exchange of goods, services, capital across national borders and…
Balance of Payments (BOP) through Cross-Border Financial Transactions
The balance of payments (BOP) summarizes the economic transactions of an economy with the rest…
Understand Forex Basics in the Global Financial World
Whenever business activities are restricted within a country, transactions are conducted in a single domestic…
International Business through the Lens of International Finance
I recently attended a session where the speaker began an insightful discussion on the forms…
International Finance: Crossing Borders with Finance
Some students are attending a lecture on International Finance, and the professor begins by discussing…
