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Question 4 please!! A key dynamic within any Multi-National Corporation (MNC) is cash and foreign exchange risk exposure. Cash management is critical and also heavily

Question 4 please!!
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A key dynamic within any Multi-National Corporation (MNC) is cash and foreign exchange risk exposure. Cash management is critical and also heavily influenced by global dynamics, especially since COVID-19. Within the Caribbean and North American jurisdiction, the economic framework is tightly connected with the major Asian economies of China, the United Kingdom and Japan The Caribbean and the North American economy have been a barometer of the global economic cycle. For both Caribbean and North American economies, many Multi-National Corporations have made significant investments to reduce the production cost of goods and diversification benefits Despite the benefits that could materialize, some North American countries have not been resilien through Global market shocks. Given this context, the following questions require research within the Caribbean context and current market dynamics since COVID-19. 1) You have been asked to evaluate possible sites for a Caribbean production facility that will manufacture your firm's products and sell them to the United Kingdom and Japanese market. Outline and discuss five (5) real exchange rate considerations you should entertain in your evaluation? (10 marks) 2) Discuss two general functions involved in international cash management. Explain how the MNC's optimization of cash flow can distort the profits of a subsidiary that is based in North America. (6 Marks) 3) Explain two benefits of netting. How can a centralized cash management system be beneficial to an MNC located in the Caribbean? (6 Marks) 4) For a fixed exchange rate system to work successfully, the government that oversees its operations must be able to make tight budget and monetary policies prevail from the beginning. Agree or disagree and explain two key points within the context of the Caribbean and North American Economy? (8 marks)

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