MNC Foreign Exchange Exposure Under FASB No. 8 and FASB No. 52: A Survey
- Are you ready for the euro? Slendebroek, Fieta // Finance Week;1/18/2002, p22
Suggests that all multinational companies and those conducting business with the 12 euro-based countries will need to take certain measures to deal with the currency's introduction. Industries affected; Logistical and practical issues surrounding the currency; Calculations between the euro and...
- The effect of changes in the dollar foreign exchange rate... AlDiab, Taisier F.; Zoubi, Marwan M. // Journal of Applied Business Research;Fall94, Vol. 10 Issue 4, p142
Examines the impact of dollar exchange rate changes on the security returns of multi-national corporations (MNC). Foreign currency exchange rates as a source of financial risk; Stock price reactions to exchange rate changes and exchange rate levels.
- Multinational corporations and hedging exchange rate exposure. Crabb, Peter R. // International Review of Economics & Finance;2002, Vol. 11 Issue 3, p299
Provides information on a study which measures the net exposure to exchange rate changes for a broad cross section of large, U.S. multinational corporations. Econometric specification and key hypothesis tests; Results and conclusion.
- Analysts examine exchange rate effects. // Accountancy;Nov85, Vol. 96 Issue 1107, p46
Reports on the results of analysts' examination of the impact of exchange rate instability on the financial performance of companies with substantial overseas earnings. Focus of the study on translation policies; Percentage weight that each foreign currency contribute to European Currency Units.
- Exchange Risk Sensitivity and Its Determinants: A Firm and Industry Analysis of U.S. Multinationals. Jongmoo Jay Choi; Prasad, Anita Mehra // FM: The Journal of the Financial Management Association;Autumn1995, Vol. 24 Issue 3, p77
We develop a model of firm valuation to examine the exchange risk sensitivity of 409 U.S. multinational firms during the 1978-89 period. In contrast to previous studies, we find that exchange rate fluctuations do affect firm value. More specifically, we find that approximately sixty percent of...
- STOCK PRICE REACTION OF MULTINATIONAL FIRMS TO EXCHANGE REALIGNMENTS. Franck, Peter; Young, Allan // Financial Management (1972);Winter72, Vol. 1 Issue 3, p66
In this article we have observed the reactions to recent exchange-rate realignments of the equity securities of low-intensity multinational firms, high-intensity multinational firms, and the stock market in general. Our aim was to uncover any implications these exchange-rate realignments may...
- Multinationals and futures hedging under liquidity constraints. Lien, Donald; Wong, Kit Pong // Global Finance Journal;Dec2005, Vol. 16 Issue 2, p210
Abstract: This paper examines the behavior of a multinational firm (MNF) under exchange rate uncertainty. The MNF has operations domiciled in the home country and in a foreign country. Each of these two operations produces a single homogeneous good to be sold in the home and foreign markets. To...
- EXCHANGE RATE RISK PROTECTION IN INTERNATIONAL BUSINESS. Imai, Yutaka // Journal of Financial & Quantitative Analysis;Sep75, Vol. 10 Issue 3, p447
This article focuses on three techniques that are effective measures against devaluation due to fluctuations of exchange rates. These are the use of a forward market, the use of a monetary balance, and the use of foreign currency swap arrangements. This paper presents a method to implement the...
- Exchange-Rate Exposure of Multinationals: Focusing on Exchange-Rate Issues. Ihrig, Jane // Working Papers -- U.S. Federal Reserve Board's International Fin;2001, p1
This paper looks at exchange-rate exposure of multinationals (MNE) in light of detailed exchange rate data using MNE-specific exchange rates and accounting for the possibility that exchange-rate crises may impact a firm differently than periods of normal fluctuations. Estimates suggest that 25%...