Question
1.Define and present three types of foreign exchange exposure. Discuss and critically evaluate how multinational corporations may manage the three types of foreign exchange exposure.
1.Define and present three types of foreign exchange exposure. Discuss and critically evaluate how multinational corporations may manage the three types of foreign exchange exposure. (300 500 words approximately) (20 marks)
2.Explain the meanings and implications of various international parity conditions with their respective perspectives. Demonstrate and deliberate the links between theses international parity conditions. (300 500 words approximately) (20 marks)
3. What does the international Fisher effect (IFE) tell us about exchange rate determination? Discuss and reflect on the rationale of IFE. (300 500 words approximately) (20 marks)
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