課程名稱︰ 國際財務管理
課程性質︰
課程教師︰ 李志偉
開課學院： 管院
開課系所︰ 國企
考試日期（年月日）︰ 2010/6/25
考試時限（分鐘）： 120
是否需發放獎勵金： 是
（如未明確表示，則不予發放）
試題 :
選擇題
1. Transaction exposure and operating exposure exist because of unexpected
changes in future cash flows. The difference between the two is that _____
exposure deals with cash flows already contracted for, while ____ exposure
deals with future cash flows that might change because of changes in exchange
rates
a. transaction; operating b. operating; transaction
c. operating; accounting d. none of the above
2. Which of the following is cited as a good reason for NOT hedging currency
exposures?
a. Shareholders are more capable of diversifying risk than management.
b. Currency risk management through hedging does not increase expected cash
flows.
c. Hedging activities are often of greater benefit to management than to
shareholders.
c. all of the above are cited as reasons NOT to hedge.
3. A US firm sells merchandise today to a British company for ￡100,000. The
current exchange rate is $2.03/￡, the account is payable in three months, and
the firm chooses to avoid any hedging techniques designed to reduce or
eliminate the risk of changes in the exchange rate. If the exchange rate
changes to $2.05/￡ the US firm will realize a ___ of ___.
a. loss; $ 2000 b. gain; $2000
c. loss; ￡2000 d. gain; ￡2000
4. ___ is NOT a commonly used contractual hedge against foreign exchange
transaction exposure.
a. forward market hedge b. money market hedge
c. options market hedge d. all of the above are contractual hedges.
5. The stages in the life of a transaction exposure can be broken into three
distinct time periods. The first time period is the time between quoting a
price and reaching an actual sale agreement or contract. The next time period
is the time lag between taking an order and actually filling or delivering it.
Finally, the time it takes to get paid after delivering the product. In order,
these stages of transaction exposure may be identified as
a. backlog, quotation, and billing exposure.
b. billing, backlog, and quotation exposure.
c. quotation, backlog, and billing exposure.
d. quotation, billing, and backlog exposure.
6. Which of the following is NOT an example of an operating cash flow?
a. management fees and distributed overhead. b. royalties and license fees.
c rent and lease payments. d. dividend paid to parent company.
7.Which of the following is NOT identified by your authors as a proactive
management technique to reduce exposure to foreign exchange risk?
a. matching currency cash flows.
b. currency swaps.
c. remaining a purely domestic firm.
d. parallel loans.
8. Which of the following is NOT an example of a form of "Political risk" that
might be avoided or reduced by foreign exchange risk management?
a. expropriation of assets.
b. destruction of raw materials through natural disaster.
c. war
d. unfavorable legal changes.
9. A ___ resembles a back-to-back loan except that it does not appear on a
firm's balance sheet.
a. forward loan b. currency hedge c. counterparty d. currency swap
10. Translation exposure measures
a. changes in the value of outstanding financial obligations incurred prior
to a change in exchange rates.
b. the potential for an increase of decrease in the parent company's net worth
and reported net income caused by a change in exchanges rates since the last
consolidation of international operations.
c. an unexpected change in exchange rates impact on short run expected cash
flows.
d. none of the above
11. Generally speaking, translation methods by country define the translation
process as a function of what tow factors?
a. size; location
b. a firm’s functional currency; location
c. location; foreign subsidiary independence
d. foreign subsidiary independence; a firm’s functional currency
12. Gains or losses caused by translation adjustments when using the current
rate method are reported separately on the ____.
a. consolidated statement of cash flow
b. consolidated income statement
c. consolidated balance sheet
d. none of the above.
13. Under the US method of translation procedures, if the financial statement
of the foreign subsidiary for a US company are maintained in the local
currency, and the US dollar is the functional currency, then
a. translation is not required.
b. translation is accomplished through the current rate method.
c. translation is accomplished through the temporal method.
d. none of the above
14. Which of the following is NOT a basic step in the capital budgeting
process?
a. identify the initial capital invested.
b. estimate the cash flows to be derived from the project over time.
c. identify the appropriate interest rate at which to discount future cash
flows.
d. all of the above are steps in the capital budgeting process
15. Which of the following is NOT a reason why capital budgeting for a
foreign project is more complex than for a domestic project?
a. parent cash flows must be distinguished from project cash flows.
b. parent firms must specifically recognize remittance of funds due to
differing rules and regulations concerning remittance of cash flows, taxes,
and local norms.
c. differing rates of inflation between the foreign and domestic economies.
d. all of the above add complexity to the international capital budgeting
process.
16. Given a current spot rate of 8.1 Norwegian krone per US dollar, expected
inflation rate s of 6% in Norway and 3% in the US, use the formula for
relative purchasing power parity to estimate the one-year spot rate of krone
per dollar.
a. 7.87 krone per dollar
b. 8.1 krone per dollar
c. 8.34 krone per dollar
d. There is not enough information to answer this question.
17. ___ is the risk that a foreign government will place restrictions such as
limiting the amount of funds that can be remitted to the parent firm, or even
expropriation of cash flows earned in that country.
a. exchange risk
b. foreign risk
c. political risk
d. unnecessary risk.
18. Real option analysis allows management to analyze all of the following
EXCEPT:
a. the option to defer
b. the option to abandon
c. the option to alter capacity
d. All of the above may be analyzed using real option analysis.
19. Toyota Motor Company operates in many different countries and pays taxes
at many different rates. However, they always pay the same rate as their
local competitors. General Motors is operating in an environment of ___ tax
policy.
a. domestic neutrality b. foreign neutrality
c. territorial approach d. none of the above.
20. The US taxes the domestic and remitted foreign earnings of US based MNEs
no matter where the earning s occurred. This is an example of a ___ approach
to levying taxes.
a. worldwide b. territorial c. neutral d. equitable
21. The US taxes all earnings on US soil by both domestic and foreign firms.
This is an example of a _____ approach to levying taxes.
a. worldwide b. territorial c. neutral d. equitable
22. What is the total value of taxes paid in the following example if the
vale added tax is 10%? A farmer raises wheat that he sells for $ 1.5 to the
grain company. The grain company sells to the processor for $2 per bushel.
The processor turns the wheat into a breakfast cereal and wholesales it for
$3 per bushel. The retailer sells the cereal for $4 per bushel.
a. $0.15 b. $0.2 c. $0.3 d. $0.4
23. Tax treaties typically result in ____ between the two countries in
question.
a. lower property taxes for US citizens overseas.
b. elimination of differential tax rats.
c. increased double taxation
d. reduced withholding tax rates.
24. The proper order of events for the operating cycle is
a. input serving period, accounts receivable period, inventory period,
quotation period.
b. quotation period, accounts receivable period, inventory period, input
servicing period.
c. quotation period, input servicing period, inventory period, accounts
receivable period.
d. accounts receivable period, input servicing period, quotation period,
inventory period.
25. Which of the following actions will result in an increase in NWC?
a. in increase in A/P that exceeds an increase in A/R
b. a reduction in inventory.
c. a reduction in A/P plus a smaller reduction in A/R
d. An increase in A/P and a smaller reductions in inventory.
26. Which of the following is NOT a precautionary motive for holding cash?
a. Anticipated funds to be remitted from several Middle East countries are in
question due to unrest in the region.
b. The firm has several short-term obligations in unhedged foreign
currency-denominated contracts.
c. the firm must pay ordinary wages in two days.
d. all are precautionary motives.
27. An in-house bank
a. is a separate bank chartered to operate within a business firm.
b. is in fact a set of function performed by the firm’s existing treasury
department.
c. assesses the credit standing of the bank’s customers.
d. provides banking services for employees.
28. A foreign banking office that is separately incorporated in the host
country is
a. a correspondent bank. b. a representative office.
c. a bank subsidiary d. an Edge Act corporation.
計算題
1. Josh Miller is chief financial officer of a medium-sized Seattle-based
medical device manufacturer. The company’s annual sales of $40 million have
been growing rapidly, and working capital financing is a common source of
concern. He has recently been approached by one of his major Japanese
customers, Yokasa, with a new payment proposal. Yokasa typically orders ￥
12,500,000 in product every other month and pays in Japanese yen. The current
payment terms extended by Seattle are 30 days, with no discounts given for
early or cash payment. Yokasa has suggested that it would be willing to pay
in cash – in Japanese yen – if it was given a 4.5% discount on the purchase
price. Josh Miller gathered the following quotes from his bank on current
spot and forward exchange rates, and estimated Yokasa’s cost of capital.
Spot rate, ￥/$ 111.4
30-day forward rate, ￥/$ 111
60-day forward rate, ￥/$ 110.4
180-day forward rate, ￥/$ 109.2
Yokasa’s WACC 8.85%
Seattle Scientific’s WACC 9.2%
How much USD will Seattle Scientific receive with no discount but fully
covered with a forward contract?
2. The Land’s Beginning Company INC. (LBC), imports extreme condition
outdoor wear and equipment from The Hudson Bay Company (HBC) located in
Canada. With the steady decline of the US dollar against the Canadian dollar
LBC is finding a continued relationship with HBC to be an increasingly
difficulty proposition. In response the LBC’s request, HBC has proposed the
following risk-sharing arrangement. First, set C$1.2/$ as the base rate. As
long as spot rates stay within 5% (up or down) LBC will pay at the base rate.
Any rate outside of the 5% range, HBC will share equally with LBC the
difference between the spot rate and the base rate. If LBC has a payable of
C$100,000 due today and the current spot rate is C$1.1/$, how much does LBC
owe in US dollars?
3. Montevideo Products, S.A., is the Uruguayan subsidiary of a US
manufacturing company. Its balance sheet for January 1 follows. The January
1st exchange rate between the US dollar and the peso Uruguayo ($U) is $U20/$.
a determine Montevideo’s contribution to the translation exposure of its
parent on January 1, using the current rate method. ( that is, net exposure
asset in $U)
b. Calculate Montevideo’s contribution to its parent’s translation gain or
loss if they exchange rate on December 31 is $U22/$. Assume all peso accounts
remain as they were at the beginning of the year. (要寫出gain or loss)
Asset January 1st, Unit: $U
Cash 60,000
A/R 120,000
Inventory 120,000
Net plant & equipment 240,000
Total 540,000
Liabilities & Net worth
Current liabilities 30,000
Long-term debt 90,000
Capital stock 300,000
Retained earnings 120,000
Total 540,000
◆ From: 220.136.227.50
※ 編輯: a21wt 來自: 220.136.227.50 (06/25 19:26)