COURSE UNIT TITLE

: MULTINATIONAL BUSINESS FINANCE

Description of Individual Course Units

Course Unit Code Course Unit Title Type Of Course D U L ECTS
IBS 4362 MULTINATIONAL BUSINESS FINANCE ELECTIVE 3 0 0 5

Offered By

International Business and Trade

Level of Course Unit

First Cycle Programmes (Bachelor's Degree)

Course Coordinator

PROFESSOR BERNA KIRKULAK ULUDAĞ

Offered to

International Business and Trade
BUSINESS ADMINISTRATION

Course Objective

The aim of the course is to provide future decision makers with basic finance related skills necessary for managing organizations operating in a multicurrency environment. Major topics covered are exchange rate exposure faced by multinational firms and managing strategies to deal with these exposures and the decision to invest abroad, cost of capital and financial structure in the multinational firm, sources of financing.

Learning Outcomes of the Course Unit

1   Employ hedging strategies and techniques in order to define and manage translation, transaction, and economic exposures. (Level 3).
2   alculate the cost of capital for multinational corporations pointing out the alternative instruments for equity and debt financing in international capital markets. (Level 3).
3   Apply capital budgeting techniques to foreign direct investment decisions. (Level 3).
4   Describe the basics of international cash management identifying principal means of payment in international trade. (Level 2).
5   Explain the principal transfer mechanisms that multinational corporations can use in order to move money and profits among their various affiliates. (Level 2).

Mode of Delivery

Face -to- Face

Prerequisites and Co-requisites

FIN 2002 - BUSINESS FINANCE

Recomended Optional Programme Components

None

Course Contents

Week Subject Description
1 Introduction and Overview of Financial Management
2 Transaction Exposure
3 Operating and Translation Exposure
4 Sourcing Equity Globally
5 Financial Structure and International Debt
6 Global Cost and Availability of Capital
7 Multinational Capital Budgeting
8 International Trade Finance
9 International Working Capital Management
10 Managing the Multinational Financial System
11 Project Presentation
12 Project Presentation

Recomended or Required Reading

1. Shapiro, A., (2009). Multinational Financial Management, 9th Edition, John Wiley & Sons.
2. Eiteman, D. K., Stonehill, A., Moffett, M. (2009). Multinational Business Finance, 12th Edition, Addison Wesley
3. Eun, C., Resnick, B. (2008). International Financial Management, 5th Edition, McGraw-Hill.

Planned Learning Activities and Teaching Methods

1. Lectures
2. Presentations

Assessment Methods

SORTING NUMBER SHORT CODE LONG CODE FORMULA
1 MT Midterm
2 FN Final
3 FCG FINAL COURSE GRADE MT * 0.40 + FN * 0.60
4 RST RESIT
5 FCGR FINAL COURSE GRADE (RESIT) MT * 0.40 + RST * 0.60


*** Resit Exam is Not Administered in Institutions Where Resit is not Applicable.

Further Notes About Assessment Methods

None

Assessment Criteria

1. The learner will employ hedging strategies and techniques in order to define and manage translation, transaction, and economic exposures.
2. The learner will calculate the cost of capital for multinational corporations pointing out the alternative instruments for equity and debt financing in international capital markets.
3. The learner will apply capital budgeting techniques to foreign direct investment decisions.
4. The learner will define the basics of international cash management identifying principal means of payment in international trade.
5. The learner will describe the principal transfer mechanisms that multinational corporations can use in order to move money and profits among their various affiliates.

Language of Instruction

English

Course Policies and Rules

1. Attending at least 70 percent of lectures is mandatory.
2. Plagiarism of any type will result in disciplinary action.

Contact Details for the Lecturer(s)

berna.kirkulak@deu.edu.tr

Office Hours

To be announced.

Work Placement(s)

None

Workload Calculation

Activities Number Time (hours) Total Work Load (hours)
Lectures 12 3 36
Preparation for Quiz etc. 0 0 0
Preparing Individual Assignments (Term Projects etc.) 0 0 0
Preparing Presentations 0 0 0
Preparing Group Assignments (Term Projects etc.) 0 0 0
Preparation for Final Exam 2 25 50
Preparation for Midterm Exam 2 15 30
Preparation before/After Weekly Lectures 12 1 12
Final 1 1,5 2
Midterm 1 1,5 2
TOTAL WORKLOAD (hours) 132

Contribution of Learning Outcomes to Programme Outcomes

PO/LOPO.1PO.2PO.3PO.4PO.5PO.6PO.7PO.8PO.9PO.10PO.11PO.12PO.13PO.14PO.15
LO.15432
LO.25432
LO.3542
LO.4542
LO.55432