Reference no: EM132186783

PART 1

1. Optimal FinancingWizard, Inc., has a subsidiary in a country where the government allows only a small amount pf earnings to be remitted to the United States each year. Should Wizard finance the subsidiary with debt financing by the parent, equity financing by the parent, or financing by local banks in the foreign country?

2. Risk from Issuing Foreign Currency Denominated Bonds What is the advantage of using simulation to assess the bond financing position?

3. Exchange Rate Effects Katina, Inc., is a U.S. firm that plans to finance with bonds denominated in euros to obtain a lower interest rate than is available on dollar-denominated bonds. What is the most critical point in time when the exchange rate will have the greatest impact?

PART 2 : "Non-Profit Organizations"

1. Propose two techniques that a nonprofit can use to measure management and employee efficiency within its organization. Speculate on the major benefits that these techniques may have on the organization.

2. Determine whether or not traditional financial and management evaluation ratios such as return on assets (ROA), return on equity (ROE), economic value added (EVA), and market value added (MVA) apply to nonprofits. Support your response with at least two examples of these instances.

REMARK (for both part):Please use quality research in your INTERNET SEARCH. Cite your references.