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EF5043
Form 2B

City University of Hong Kong
Information on a Course offered by the Department of Economics and Finance with effect from Semester B in 2013 / 2014

Part I
Course Title: Financial Management and the International Firm
Course Code: EF5043
Course Duration: 1 semester (39 hours)
Credit Units: 3
Level: P5
Medium of Instruction: English
Prerequisites: Nil
Precursors: Nil
Equivalent Courses: Nil
Exclusive Courses: Nil

Part II
Course Aims
The objective of this course is to enable you to understand and apply the tools and techniques of economics and finance in order to make sound financial decision by firms (including banks) operating in a complex and dynamic global economy. There are five key themes which run through the course. The first theme focuses on key financial concepts for a firm to run its business. The second theme focuses on the determination and forecasts of exchange rate. The third theme is on the evaluation of domestic and international investment opportunities. The fourth theme is on the foreign exchange derivatives as financial tools for international firms. Finally, we talk about how an international firm can manage its risk, specially that arising from exposure to foreign exchange risks.

Form 2B[R], 22.2.06

1

Course Intended Learning Outcomes (CILOs)
Upon successful completion of this course, students should be able to:

No. CILOs
1.

2.

3.
4.
5.

Analyze the basic organization, operation, and accounting of a firm; Explain the purposes served by domestic and international financial markets for firms conducting both domestic and international businesses
Explain various theories on the determination and exchange rate, and evaluate their use in forecasting future exchange rates.
Identify and evaluate domestic and international investment opportunities.
Analyze various foreign exchange derivative assets as financial tools for international firms
Identify and manage foreign exchange risk exposures for international firms.

Weighting (if

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