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Center for Curriculum and Transfer Articulation
International Finance
Course: IBS104

First Term: 1997 Fall
 Lecture   1 Credit(s)   1 Period(s)   1 Load  
Subject Type: Occupational
Load Formula: S


Description: The development of foreign exchange and international banking is examined. Methods of export financing, including both short- and medium-term credit and an in-depth review of application to and administration of government loan programs are covered. Important factors in country risk analysis are discussed



MCCCD Official Course Competencies
1. Describe the international monetary system including the International Monetary Fund, the World Bank, and Eurocurrency. (I)
2. Describe the most common methods of international payment and collections, including a letter of credit. (II)
3. Describe the growth and regulation of international banking. (II)
4. List sources for funds for multinational corporations. (III)
5. Describe the operation of a foreign exchange market. (III)
6. Define terminology associated with foreign exchange rates (spot rates, forward exchange rates, freely fluctuating rates, etc.). (III)
7. Perform the steps necessary in order to connect to the internet and retrieve current currency trade values in several currencies. (III)
8. List the factors that influence foreign exchange rates and identify relationships, such as interest rate parity, that are used to predict or explain foreign exchange rate behavior. (IV)
9. Describe the effects of change of foreign exchange rates on a multinational corporation (financial statements, payments made or received, and firm`s perceived value). (IV)
10. Describe ways to manage foreign exchange risk, including balance sheet hedging, forward market hedging, money market hedging, and diversification. (IV)
MCCCD Official Course Competencies must be coordinated with the content outline so that each major point in the outline serves one or more competencies. MCCCD faculty retains authority in determining the pedagogical approach, methodology, content sequencing, and assessment metrics for student work. Please see individual course syllabi for additional information, including specific course requirements.
 
MCCCD Official Course Outline
I. Historical Perspective of growth of financial Markets
   A. International Monetary Fund
   B. International banking overseas
         a. U.S. Banking overseas
         b. Foreign banking in the U.S.
   C. International sources of funds
II. International Payments and Collections
   A. Drafts and documentary collection
   B. Letter of credit
   C. Cash in advance
   D. Open account
III. Foreign Exchange Markets
   A. Operation
   B. Terminology and types of rates
   C. Theories of exchange rate fluctuations
   D. Use of the internet for currency information gathering
IV. Foreign Currency Rate Change
   A. Influential factors
   B. Effects of change
      3. Economic exposure
   B. Types of hedges
 
MCCCD Governing Board Approval Date:  10/22/1996

All information published is subject to change without notice. Every effort has been made to ensure the accuracy of information presented, but based on the dynamic nature of the curricular process, course and program information is subject to change in order to reflect the most current information available.