Treating international financial management as a logical extension of principles learned in the foundations of management course, this text build on and extends the valuation framework provided by domestic corporate finance to account for dimensions unique to international finance.

This text exposes students to the international business environment, emphasizing challenges facing financial managers. The new edition includes discussions of the recent Exchange Rate Mechanism (ERM) crisis in Europe, NAFTA, and corporate investment in developing countries. A Wall Street Journal case ends each chapter.

Stressing the interrelatedness and complexity of the global economy, Multinational Financial Management helps students understand the international financial environment and its various implications. Over the course of 15 chapters, students become familiar with foundational concepts in international finance. The third edition features seven new chapters, a revised introduction, and a new organizational structure. The text is now divided into three parts: The World of Multinational Corporations; International Financial Markets; and Multinationals and Financial Decisions. It explores new topics such as financial management in a world of multinational corporations, developments on MNC theories and practices, foreign direct investment, the finance function in the multinational corporation, capital budgeting for international investment, the multinational's cost of capital and capital structure, and global tax planning and management. Rooted in a strong belief that all business students need to understand international finance, Multinational Financial Management can be used in courses in finance, accounting, and economics.

Market_Desc: · Economists· Business Professionals· Students of Business Special Features: · Presents a comprehensive discussion of the foreign exchange and derivatives markets· Details the key parity conditions in international finance that relate interest rates, exchange rates, and inflation rates, and the underlying arbitrage considerations that determine them, along with numerous real-world applications · Describes the distinctions between real and nominal exchange rates and between accounting and economic exposure and their significance for exchange risk management· Examines how to finance the multinational corporation and the cost of capital for foreign investments About The Book: Multinational Financial Management provides a conceptual framework within which key financial decisions of the multinational firm can be analyzed. The approach is to treat international financial management as a natural extension of financial management principles. Because of this, the book builds on the valuation framework provided by domestic corporate finance to account for dimensions unique to international finance.