What are the International Financial Reporting Standards
(IFRS), and how do they differ from the Generally Accepted
Accounting Principles (GAAP) in the US? What are some challenges
adopting these standards here, and how are companies with a
multinational focus impacted? Research this topic
online.
Question 1
How does domestic financial management differ from international
financial management?
Question 2
Suppose Country A pegged its currency (A$) to Country B’s
currency (B$) at a rate of A$4.8 to B$1, but the current market
rate is A$5.2 to B$1.
(a) Draw a labeled demand and supply diagram to depict the above
situation.
(b) Is A$ overvalued or undervalued against B$?
(c) What should Country A’s government
do in order to maintain the fixed exchange rate?
(d) How...
To what extent, and in what ways, do the functions of domestic
middlemen differ from their foreign counterparts? What strategy
might be employed to distribute goods effectively in the
dichotomous small/large middlemen pattern which characterizes
merchant middlemen in most countries? Discuss the economic
implications of charging termination penalties or restricting the
termination of middlemen. Do you foresee such restrictions in the
United States?
International Financial Markets – how do you feel about the
global financial markets activity. Pick a country outside the USA
and briefly discuss the stock or bond market conditions in relation
to the US markets and global.
Tax Incidence: How do the effects of a tax differ between
markets with different elasticities of supply? Consider two
hypothetical markets. In both cases, the demand function is QD =
1000 - P The two supply functions are QS1 = P - 100 and QS2 = 2P -
650
a. Solve for equilibrium price and quantity for both cases and
show that the equilibrium values are the same in these two cases
(for QS1 and QD and for QS2 and...