国际财务管理课后习题答案chapter 8（16页）_2.pdfVIP

CCHHAAPPTTEERR88MMAANNAAGGEEMMEENNTTOOFFTTRRAANNSSAACCTTIIOONNEEXXPPOOSSUURREE SSUUGGGGEESSTTEEDDAANNSSWWEERRSSAANNDDSSOOLLUUTTIIOONNSSTTOOEENNDD--OOFF--CCHHAAPPTTEERRQQUUEESSTTIIOONNSSAANNDD PPRROOBBLLEEMMSS QUESTIONS 1.Howwouldyoud fin transaction xposur ?Howisitdiff r ntfrom conomic xposur ? Answ r:Transaction xposur isth s nsitivityofr aliz ddom sticcurr ncyvalu softh firm’s contractualcashflowsd nominat dinfor igncurr nci stoun xp ct dchang sin xchang rat s. Unlik conomic xposur ,transaction xposur isw ll-d fin dandshort-t rm. 2.Discussandcompar h dgingtransaction xposur usingth forwardcontractvs.mon ymark t instrum nts.Wh ndoth alt rnativ h dgingapproach sproduc th sam r sult? Answ r:H dgingtransaction xposur byaforwardcontractisachi v dbys llingorbuyingfor ign curr ncyr c ivabl sorpayabl sforward.Onth oth rhand,mon ymark th dg isachi v dby borrowingorlndingth pr s ntvalu offor igncurr ncyr c ivabl sorpayabl s,th r bycr ating offs ttingfor igncurr ncypositions.Ifth intr strat parityisholding,th twoh dgingm thodsar quival nt. 3.Discussandcompar th costsofh dgingviath forwardcontractandth optionscontract. Answ r:Th r isnoup-frontcostofh dgingbyforwardcontracts.Inth cas ofoptionsh dging, how v r,h dg rsshouldpayth pr miumsforth contractsup-front.Th costofforwardh dging, how v r,mayb r aliz d xpostwh nth h dg rr gr tshis/h rh dgingd cision. 4.Whatar th advantag sofacurr ncyoptionscontractasah dgingtoolcompar dwithth forward contract? Answ r:Th mainadvantag ofusingoptionscontractsforh dgingisthatth h dg rcand cid wh th r to x rcis optionsuponobs rvingth r aliz dfutur xchang rat .Optionsthusprovid ah dg against xpostr gr tthatforwardh dg rmighthav tosuff r.H dg rscanonly liminat th downsid risk whil r tainingth upsid pot ntial. 5.Suppos yourcompanyhaspurchas daputoptiononth G rmanmarktomanag xchang xposur associat dwithanaccountr c ivabl d nominat dinthatcurr ncy.Inthisca