Chapter 13:

Go over figures 13.1 to 13.4 in your textbook and be familiar with the following computations: Expected NPV, std. dev., CV and value of the option.


1. I am referring to the figures embedded in the narrative of the chapter and not the end of chapter problems.

2. I will post an Announcement showing all the computations for figure 13.1. You may omit that figure, but you need to show the computations for parts I, II and III in figures 13.2, 13.3 and 13.4.

Chapter 19:

Please review the lecture notes for chapter 19 and give a qualitative example of each of the following: How fluctuating exchange rates can be beneficial to MNCs and how they can affect MNCs negatively. You must give one example of each scenario in order to receive full credit for this question. Furthermore, your answer must be purely qualitative. In other words, you should not use any numerical data to answer this question.

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