Tag Archives | Financial Management

Translation of Financial Statements | International Finance

Each overseas affiliate prepares its profit and loss statement and balance sheet, in its measurement currency. There are three aspects relating to translation. Currency for Translating the Affiliates' Financial Statements: The functional currency of MNC affiliates is the currency of the primary economic environment of the affiliate. In some countries—such as the USA—the accounting standard relating to translation prevents affiliates [...]

By |2017-12-07T08:48:22+05:30December 7, 2017|International Finance|Comments Off on Translation of Financial Statements | International Finance

Hedging: Costs and Types | Company | Financial Management

In this article we will discuss about the cost and types of hedging adopted by companies to mitigate exchange rate risk. Cost of Hedging: Companies use contractual and non-contractual methods to hedge exchange rate risk. Transaction exposure is hedged through contractual and non-contractual methods. Translation exposure can be hedged through contractual methods. Operating exposure is difficult to hedge given the [...]

By |2017-12-07T08:48:22+05:30December 7, 2017|Hedging Techniques|Comments Off on Hedging: Costs and Types | Company | Financial Management

Essay @ Foreign Direct Investment (FDI) in India | Financial Management

Here is an essay on ‘Foreign Direct Investment’ for class 9, 10, 11 and 12. Find paragraphs, long and short essays on ‘Foreign Direct Investment’ especially written for school and college students. Essay on FDI   Essay # 1. Introduction to Foreign Direct Investment: Inbound FDI in developing countries is associated with positive spill overs for the host country, such as [...]

By |2017-12-07T08:48:22+05:30December 7, 2017|FDI|Comments Off on Essay @ Foreign Direct Investment (FDI) in India | Financial Management
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