IBO-06 Solved Assignment 2018-19
Course Code : IBO-06
Course Title : International Business Finance
Assignment Code : IBO-06/TMA/2018-19
Coverage : All Blocks
Attempt all the questions
Q.1 (a) An Adverse balance of payment is always a sign of weakness in the economy.
(b) Differentiate between:
(i) Capital account and current account
(ii) Capital account and reserve account 10+5+5
Q.2 (a) Distinguish between gold standard and gold exchange standard.
(b) What were the distinctive features of Bretton Woods system? 10+10
Q.3 (a) What is translation exposure? Is management of translation exposure more
important that economic exposure? Discuss.
(b) What are Euro Bonds and Foreign Bonds? 10+10
Q.4 (a) What is political risk? Discuss the various approaches for assessment of political
(b) What is transfer pricing? Why do the Transnational Corporations resort to transfer
Q.5 (a) Discuss the issues in the taxation of business investment abroad.
(b) Differentiate between fisher effect and international fisher effect. 12+8