最新国际金融英文版试题chapter7

1、精品文档INTERNATIONAL FINANCEAssignment Problems (7) Name: Student#:I. Choose the correct answer for the following questions (only correct answer) (4 credits for each question, total credits 3 x 21 = 63)1. are domestic currencies of one country on deposit in other countries.A. LIBORsB. EurobondsC. Euroc

2、urrenciesD. Euronotes2. Eurocredits are .A. bank loans to MNCs or others denominated in a currency other than that of a country where the bank is locatedB. typically variable rates which are tied to the LIBORC. usually for maturities of six months or lessD. all of the above are true3. A Japanesefirm

3、 had chosen to deposit money in a German bank and have it denominated in Japanese yen, this is an example of a deposit.A. EurobondB. EuronoteC. EuroyenD. foreign yen4. If a bond is issued by a domestic borrower, denominated by domestic currency, marketed and regulated by domestic monetary authoritie

4、s, this is a .A. foreign bondB. EurobondC. domestic bondD. global bond5. A bond that trades in the Eurobond market as well as in one or more national bond markets is a .A. EurobondB. global bondC. foreign bondD. domestic bond6. are issued in a domestic market by a foreign borrower, denominated indom

5、estic currency, marketed to domestic residents, and regulated by domestic authorities.A. foreign bondsB. EurobondsC. domestic bondsD. Yankee bonds7. The Federal National Mortgage Association (Fannie Mae) issued a dollar-denominated bond with a 7.25% annual coupon and a maturity date in 2030 to non-U

6、.S. investors in an external market. This bond is typically a .A. foreign bondB. EurobondC. domestic bondD. Yankee bond8. A euro-denominated loan is traded in Eurocurrency market. This loan is calledA. euro loanB. Euroeuro loanC. foreign euro loanD. none of the above9. Which of the following is true

7、 for a Eurocurrency market?A. A Eurocurrency market is not subject to any countries' interest rate regulations.B. A Eurocurrency market does not need to meet any countries' reserve requirements.C. A Eurocurrency market enjoys the privilege of free flow of capitalsD. All of the above must be

8、true10. Citigroup in Los Angeles borrows a Canadian dollar-denominated deposit from Union Bank of Switzerland (UBS) in Geneva. This is a deposit.A. EuronoteB. Euro-Swiss francC. Euro-Canadian dollarD. Eurobond11. Which of the following is NOT true about the original Eurodollar?A. The Soviet Union ma

9、intained dollar-denominated deposits in U.S. banks in the early 1950s. The Soviet government feared that U.S. might freeze those deposits because of the Cold War.B. The Soviet Union moved those dollars to banks in London.C. Since the dollars were in Europe, theywere called “ Eurodollars ”.D. The Sov

10、iet Union worried that the U.S. would not convert the U.S. dollar into the gold as promised.12. There are many ways to classify financial markets. The category of money market and capital market is made according to .A. whether or not they are regulated by a single countryB. whether or not a financi

11、al intermediary stands between borrowers and saversC. the maturity of the financial assets and liabilitiesD. the participants of the markets13. A is an agreement in which a borrower sells his T-bills to a bank andpromises to buy them back later at an agreed price.A. commercial paperB. repoC. banker

12、' s acceptanceD. negotiable certificate of deposit14. Accepted drafts refer to those time drafts issued by and promised topay by at maturity.A. an investor; a bankB. a firm; a bankC. a bank; a firmD. a bank; an investor15. Which of the following did NOT contribute to the prosperity of the Eurodo

13、llar market?A. increased regulation of banking activities prevailed in 1960s in U.S.B. easy access to U.S. capital market by foreign investorsC. huge dollar income of OPEC countries in 1970sD. tremendous growth of international trade and investment16. The most frequent quoted rate on Eurocurrency ma

14、rket is the .A. U.S. T-bill rateB. Bank of England ' s rateC. LIBORD. Federal funds ' rate17. Which of the following is NOT a feature of the Eurobond?A. Eurobonds are usually issued in bearer form.B. Eurobonds are “ straight ” bonds.C. Eurobonds usually have longer maturities than those on d

15、omestic markets.D. Eurobonds do not have withholding taxes.18. A Samurai bond is .A. a yen bond issued in the United States by an institution residing in JapanB. a yen bond issued in Japan by an institution residing outside of JapanC. a non-yen bond issued in Japan by an institution residing outside

16、 JapanD. none of the above are Samurai bond19. If IBM issues registered bond in New York Stock Exchange, the needs to keep the records of the owners of its bonds.A. IBMB. New York Stock ExchangeC. IRS (Internal Revenue Service)D. U.S. Treasury Department20. If the interest rates decline, one can exp

17、ect that .A. prices of the bonds will usually be upB. prices of the bonds will usually be down.C. prices of the bonds will usually remain the same.D. prices of the bonds may be up or may be down, because the price of bond has no relation with the interest rate.21. Eurobanks are .A. banks where Euroc

18、urrencies are depositedB. major world banks that conduct a Eurocurrency business in addition to normal banking activitiesC. financial intermediaries that simultaneously bid for time deposits in and make loans in a currency other than that of the currency of where it is locatedD. all of the above are

19、 descriptions of a Eurobank.II. Problems (17 Credits)1. Which of the following are Eurodollars and which are not? (1 credit for each question, total credits 1 x 10 = 10)s Bank ina. A U.S. dollar depositowned by a German corporation and held in Barclay London.b. A U.S. dollar deposit owned by German

20、corporation and held in Bank of America office in London.c. A U.S. dollar deposit owned by German corporation and held in Sumitomo Bank in Tokyo.d. A U.S. dollar deposit owned by German corporation and held in Citibank in New York.e. A U.S. dollar deposit owned by German corporation and held in the

21、New York branch of Deutsche Bank.f. A U.S. dollar deposit owned by a U.S. resident and held in Overseas Banking Corporation in Singaporeg. A U.S. dollar deposit owned by German corporation and held in the Berlin branch of Deutsche Bank.h. A deposit of euros in Paribas Bank in Paris.i. A deposit of e

22、uros in Citibank in New York.j. A deposit of Australian dollars in Paribas Bank in Paris.2. AireAsia, headquartered in Kunming, China, needs US$5,000,000 for one year to finance working capital. The airline has two alternatives for borrowing: (7 credits)a. Borrow US$5,000,000 in Eurodollars in Londo

23、n at 7.250% per annum.b. Borrow HK$39,000,000 in China Hong Kong at 7.00% per annum, and exchange these Hong Kong dollars at the present exchange rate of HK$7.8/US$ for U.S. dollar. At what ending exchange rate would AireAsia be indifferent between borrowing U.S. dollars and borrowing Hong Kong doll

24、ars?III. True or False (2 credits for each question, total credits 2 x 10 = 20)1. Eurocurrency markets are outside the jurisdiction of any single regulatory authority.2. Banker ' s acceptance means thadtrtahfet issuer promises to pay the draft when it is due.3. Domestic bonds are denominated in

25、domestic currency by any borrower.4. Most Eurobonds are issued in registered form in order to track the holder of the bonds.5. The Eurocurrency market continues to thrive because it is a large international money market relatively free of government regulation and interference.6. One of the attractive features of a bond is that it is free of withholding tax.7. T-bill dealers purchases T-bills from an investor and later sells him at a higher price. This agreement is called a repo.8. Syndicated credit is a loan by several lenders le