DEPARTMENT OF ACCOUNTING & IS

UNIVERSITY OF DHAKA
MBA (Evening) Program
6201: International Financial Management
Semester: January April 2016 (Spring)
Class Time: Thursday (6.30pm 9.30pm)
Faculty: Prof. Md. Maksudur R. Sarker, FCMA
Room #
5002
E-mail: maksudsarker@gmail.com
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Course Descriptions:
The course applies theories in economics and finance to analyze problems and challenges that
the international financial environment presents to financial managers. The management aspect of
international financial corporations is emphasized. Topics include globalization and the multinational
firm, the international monetary system, balance of payments, the market for exchange rates, futures
and options on foreign exchange, foreign exchange forecasting, foreign direct investment, international
capital budgeting. Some basic knowledge of algebra is required for this unit.
Course Objective:
The aim of this course is to assist students to develop conceptual and analytical framework within
which the key financial decisions of a multinational firm can be analyzed. Upon completion of the course
students will be able to:
Understand the environment in which international financial decisions are made
Know about the basics of the international financial markets
Understand the nature of foreign exchange and the risk associated with it
Know about different foreign exchange risk management techniques implied by multinational
companies
Understand Government influence on Exchange rate
Required Text:
Jeff Madura, International Financial Management, 12th Edition (2015). Thomson South-Western
Reference Book:
Alan C. Shapiro, Multinational Financial Management, 8th Edition, John Wiley & Sons
Lecture Sessions:
Students are expected to have read the assigned chapters of the text, and recommended
readings before the start of each class. In addition, student should attempt to be well informed on
current corporate issues through reading the financial press and publications.
Grading Policy:
The final course grade will be based on:
Course requirements
1st Mid-term
2nd Mid-term
Class Participation and Case presentation
Quiz
Assignment
Final Exam
Total

15%
15%
10%
10%
10%
40%
100%

There will be some bonus marks for active class participation, assignments, presentation and quizzes
for the deserving students.
1

Grading Scales:
We shall follow official grading policy of the University of Dhaka. Please contact with the
Department or EMBA Program office for detail.
Mid-term Exams:
There will be two mid-term exams. You can expect short and/or multiple choice questions
including theory and quantitative problems in the mid-term exams. The first and second mid-term
exams will be held on the 6th and the 13th week of the semester respectively. The detail will be
announced in due time. Due to any unavoidable reason (s), the same exam will be held on the
immediate next week without any further notice.
Final Exam:
Final exam will be held at the end of the semester. You can expect both short type and essay
type questions including theory and quantitative problems in the final exam. The detail will be
announced in due time.
Note: No make-up exam will be given without prior arrangement with the instructor. Any missed exam
/ paper will earn zero point. Academic dishonesty, such as cheating on the exam, copying another
students exam / paper or letting another student copy your exam / paper may result in your receiving
an F grade in the course.
Detailed Course Outline

Week # 1

Multinational Financial Management: An Overview

Week # 2

International Flow of Funds

Week # 3

International Financial Markets

Week # 4

Exchange Rate Determination

Week # 5

Currency Derivatives

Week # 6

First Mid-Term Exam

Week # 7

Government Influence On Exchange Rates

Week # 8

International Arbitrage And Interest Rate Parity

Week # 9

Relationships Between Inflation, Interest Rates and Exchange Rates

Week # 10

Forecasting Exchange Rates

Week # 11

Measuring Exposure to Exchange Rate Fluctuation

Week # 12

Multinational Capital Budgeting

Week # 13

Second Mid-Term Exam

Week # 14

Review Class for the Final Exam

Week # 15

FINAL EXAM