International Finance, Economics Homework Help

DO YOU KNOW WHY YOUR FRIENDS ARE POSTING BETTER GRADES THAN YOU? — THEY ARE PROBABLY USING OUR WRITING SERVICES. Place your order and get a quality paper today. Take advantage of our current 15% discount by using the coupon code WELCOME15.


Order a Similar Paper Order a Different Paper

1. 
If a foreign project has a positive NPV but NPV
is greater from the parent’s than from the project perspective, then the parent
firm should:

A. 
Accept the project and decide whether to hedge
currency risk based on the firm’s risk of policies

B. 
Accept the project and hedge the foreign
currency cash flows

C. 
Accept the project and hire a local consultant
to value the expected future cash flow capital

D. 
Reject the project and continue to look for
higher- NPV projects

2. 
Victor’s Secret plans to sell $10 million
accounts receivable due in one year to Union Bank of Switzerland. UBS charges a
fee of 2 percent for purchasing the receivables and is willing to buy the
receivables at a discount rate of 4 percent compounded quarterly. What is the
all-in cost of the receivables?

A. 
19.37%

B. 
10.45%

C. 
10.20%

D. 
6.18%

E. 
6.12%

Do you require writing assistance from our best tutors to complete this or any other assignment? Please go ahead and place your order with us and enjoy amazing discounts.


Order a Similar Paper Order a Different Paper