Ahmad sohrabian

International Financial Management

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Copyright 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part.

International Financial Management 12th Edition

Jeff Madura Florida Atlantic University

Australia • Brazil • Mexico • Singapore • United Kingdom • United States

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International Financial Management, 12th Edition Jeff Madura

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Dedicated to my mother Irene

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Brief Contents

Preface, xx

About the Author, xxvi

PART 1: The International Financial Environment 1 1 Multinational Financial Management: An Overview 3

2 International Flow of Funds 33

3 International Financial Markets 63

4 Exchange Rate Determination 107

5 Currency Derivatives 135

PART 2: Exchange Rate Behavior 187 6 Government Influence on Exchange Rates 189

7 International Arbitrage and Interest Rate Parity 225

8 Relationships among Inflation, Interest Rates, and Exchange Rates 255

PART 3: Exchange Rate Risk Management 293 9 Forecasting Exchange Rates 295

10 Measuring Exposure to Exchange Rate Fluctuations 323

11 Managing Transaction Exposure 355

12 Managing Economic Exposure and Translation Exposure 393

PART 4: Long-Term Asset and Liability Management 415 13 Direct Foreign Investment 417

14 Multinational Capital Budgeting 435

15 International Corporate Governance and Control 471

16 Country Risk Analysis 497

17 Multinational Capital Structure and Cost of Capital 521

18 Long-Term Debt Financing 545

PART 5: Short-Term Asset and Liability Management 571 19 Financing International Trade 573

20 Short-Term Financing 593

21 International Cash Management 615

Appendix A: Answers to Self-Test Questions 650

Appendix B: Supplemental Cases 663

Appendix C: Using Excel to Conduct Analysis 684

Appendix D: International Investing Project 692

Appendix E: Discussion in the Boardroom 695

Glossary 702 Index 709

vii

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