Global corporate finance : a focused approach / Suk H. Kim, University of Detroit Mercy, USA.

Includes bibliographical references and index.

Cover
Halftitle
Title
Copyright
Currencies of the World
Preface
Acknowledgements
About the Authors
Contents
PART ONE: THE GLOBAL FINANCIAL ENVIRONMENT
Chapter 1. Globalization and the Global Company
1.1 Reasons to Study International Finance
1.2 Company Goals and Functions of Financial Management
1.3 MNCs and their Performance
1.4 Principles of Global Finance
1.5 Agency Theory and Corporate Governance
1.6 Environmental Differences
1.7 The Structure of the Book
1.8 Summary
1.9 Key Terms
Bibliography
Chapter 2. Motives for World Trade and Foreign Investment
2.1 Motives for Foreign Trade
2.2 Economic Integration
2.3 Motives for Foreign Investment
2.4 A Synthesis of Foreign Trade and Investment Theories
2.5 Summary
2.6 Key Terms
2.7 Problems
Chapter 3. Balance of Payments and International Monetary System
3.1 An Overview of the Balance of Payments
3.2 A Successful Foreign Exchange System
3.3 The International Monetary Fund
3.4 Summary
3.5 Key Terms
3.6 Problems
PART TWO: CORPORATE FOREIGN EXCHANGE RISK MANAGEMENT
Chapter 4. The Foreign Exchange Market and Parity Conditions
4.1 Participants in the Exchange Market
4.2 Spot Exchange Quotation: Spot Exchange Rate
4.3 Forward Exchange Quotation: Forward Exchange Rate
4.4 International Parity Conditions
4.5 Arbitrages
4.6 Summary
4.7 Key Terms
4.8 Problems
Chapter 5. Currency Futures and Options
5.1 The Currency Futures Market
5.2 The Currency Options Market
5.3 Futures Options
5.4 Summary
5.5 Key Terms
5.6 Problems
Chapter 6. Financial Swaps
6.1 The Emergence of the Swap Market
6.2 Plain Vanilla Swaps
6.3 Motivations for Swaps
6.4 Summary
6.5 Key Terms
6.6 Problems
Chapter 7. Managing Transaction Exposure and Economic Exposure
7.1 Basic Nature of Foreign Exchange Exposures
7.2 Transaction Exposure Management
7.3 Economic Exposure Management
7.4 Summary
7.5 Key Terms
7.6 Problems
Chapter 8. Translation Exposure Management
8.1 Translation Rules
8.2 FASB No. 8 and FASB No. 52
8.3 Hedging Translation Exposure
8.4 Summary
8.5 Key Terms
8.6 Problems
PART THREE: THE GLOBAL FINANCING STRATEGY
Chapter 9. International Financial Markets
9.1 Eurocurrency Markets
9.2 Eurocurrency Interbank Market
9.3 The International Capital Market
9.4 International Loans
9.5 Financial Crises of Industrialized Countries
9.6 Summary
9.7 Key Terms
9.8 Problems
Chapter 10. Financing International Transactions
10.1 Basic Documents in Foreign Trade
10.2 The Payment Terms of Export Transactions
10.3 Sources of Financing Foreign Trade
10.4 Internal Sources of Funds for Foreign Investment
10.5 External Sources of Funds for Foreign Investment
10.6 Development Banks
10.7 Summary
10.8 Key Terms
10.9 Problems
PART FOUR: THE GLOBAL INVESTMENT STRATEGY
Chapter 11. International Working Capital Management
11.1 Basic Concepts of Working Capital Management
11.2 Cash Management
11.3 Accounts Receivable Management
11.4 Inventory Management
11.5 Summary
11.6 Key Terms
11.7 Problems
Chapter 12. International Portfolio Investment
12.1 Key Terminologies
12.2 Benefits of International Diversification
12.3 Methods of International Diversification
12.4 Summary
12.5 Key Terms
12.6 Problems
Chapter 13. The Cost of Capital for Foreign Projects
13.1 The Weighted Average Cost of Capital
13.2 Optimum Capital Structure
13.3 The Marginal Cost of Capital and Investment Decisions
13.4 Cultural Values and Capital Structure
13.5 Summary
13.6 Key Terms
13.7 Problems
Chapter 14. Foreign Direct Investment Analysis
14.1 How to Invest Abroad: Modes of Foreign Investment
14.2 The Foreign Investment Decision Process
14.3 Portfolio Theory
14.4 Capital Budgeting Theory and Practice
14.5 Motives for Cross-Border Mergers and Acquisitions
14.6 Political Risk Management
14.7 Summary
14.8 Key Terms
14.9 Problems
Chapter 15. Corporate Performance of Foreign Operations
15.1 Global Control System and Performance Evaluation
15.2 International Taxation
15.3 Transfer Pricing and Tax Planning
15.4 Summary
15.5 Key Terms
15.6 Problems
Answers to Selected End-of-Chapter Problems
Glossary
Index

"Global Corporate Finance: A Focused Approach, 4th edition (GCF4) introduces students and practitioners to those principles essential to the understanding of global financial problems and the policies that global business managers contend with. The objective of this book is to equip current and future business leaders with the tools they need to interpret the issues, to make sound global financial decisions, and to manage the wide variety of risks that modern businesses face in a competitive global environment. In line with its objective, the book stresses practical applications in a concise and straightforward manner, without a complex treatment of theoretical concepts. All chapters in the 4th edition have been updated to include new materials, eliminate unnecessary and outdated materials, and include more non-US materials. Each chapter contains the following four new items: an opening mini case, a global finance in practice, a list of key terms at the end of each chapter, and a closing mini case. The GCF4 is suitable for appropriate courses, no matter where in the world it is taught, because it does not adopt any specific national viewpoint. Moreover, it is self-contained, and it combines theory and applications. The earlier editions of the GCF4 have been adopted by many colleges, universities, and management development programs worldwide, particularly because the book stresses practical applications in a user-friendly format. Supplementary materials are available to instructors who adopt this textbook. These include: An Instructor's Manual A Test Bank of 700 multiple choice questions Two sets of PowerPoint lecture notes Detailed Word Lecture notes Chapter Outlines for Students"-- Provided by publisher.