国际财务管理答案Chap019.docVIP

PAGE 1 IM CHAPTER 19 MULTINATIONAL CASH MANAGEMENT SUGGESTED ANSWERS AND SOLUTIONS TO END-OF-CHAPTER QUESTIONS AND PROBLEMS QUESTIONS 1. Describe the key factors contributing to effective cash management within a firm. Why is the cash management process more difficult in a MNC? Answer: An effective cash management system should be based on a cash budget that projects expected cash inflows and outflows over some planning horizon. It provides for the systematic receipt and disbursement of cash. It also provides for funds mobilization, where cash shortages are covered by borrowing at the m