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1. Which one of the following will increase the investment cash flow?

purchase of an investment

issuing new shares of stock

repaying a bond issue

sale of a building

payment of interest on a bond issue

2. How do courts treat an engagement ring, when the two parties break off an engagement? who owns the ring?

3. A U.S. based company have to pay 1 million Argentinean Pesos (ARS) in five months. Since the ARS is very volatile, the company decides to enter into a FX swap. Set the swap. The interest rate in Argentina is 26.5% per year, the ARS spot price is 0.0568 [USD/ARS] and the interest rate in the U.S. is 1.23% per year.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92722025

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