Page 232 - DMGT549_INTERNATIONAL_FINANCIAL_MANAGEMENT

Unit 13: Cross-border Capital Budgeting

(a) Calculate the APV. Notes
(b) Would your answer be different if the firm can raise a 5-year Euro 10,000,000 loan at
13%.

Answers: Self Assessment

1. Risk 2. Parent
3. Initial 4. Operating
5. Foreign 6. Blocked Funds
7. Below 8. Opportunity
9. Shareholders 10. NPV
11. Zero 12. Equity
13. IRR 14. Positive
15. Capital budgeting

13.6 Further Readings

Books Apte, P.G. International Financial Management, Tata McGraw Hill Publishing
Company Limited, New Delhi.
Bhalla, V.K. International Financial Management, Anmol Publishers.
Eun/Resnick, International Financial Management, Tata McGraw Hill Publishing
Company Limited, New Delhi.

Shapiro Allan C, Multinational Financial Management, Prentice Hall, New Delhi.

Online links http://doc.mbalib.com/view/d21d8e7ef8e2eaa0463cae045bd122bd.html
http://wps.prenhall.com/bp_eiteman_mbf_13/232/59437/15215903.cw/
index.html
http://www.documbase.com/CROSS-BORDER-CAPITAL-BUDGETING-%26-
JOINT-VENTURE.pdf
http://www.slideserve.com/cargan/chapter-14-cross-border-capital-budgeting

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