Chapter 1, Problem 4SBD

why is market-specific factors and political factors can impact foreign exchange market

Summarize the impact of foreign exchange rates on the company’s financial statements. What risks do foreign exchange rates pose? Provide academically supported example(s) in your response.

The Fisher Effect is a familiar economic theory in the domestic market. Define the Fisher Effect and explain why you think it is also appropriately applied to international markets

What are the sources of foreign financing?

Investors who want to maximize their investment returns must consider investing in foreign securities in addition to their domestic investments. Foreign securities are often considered more risky than domestic investments.  What should be considered when deciding whether to invest in foreign securities? Include a discussion of exchange rate risk and country risk. Foreign economic, political, and legal risks should also be included. Include any other risks that you deem important.

Advantages and disadvantages of foreign exchange risk?

How will learning about Trading Internationally be most interesting and why?

What are the financial issues, export practicalities and technicalities that an exporter would need to know about to in the context of developing an export strategy?