Practice Exam Review Sheet
International Business

1. Geography: You should be able to identify the following countries on a map, as well as the countries that you already studied in the Americas and Europe. 

Australia, China, India, Pakistan, Indonesia, Japan, Malaysia, New Zealand, North Korea, Philippines, Russia, Singapore, South Korea, Taiwan, Thailand, Vietnam, Saudi Arabia, Israel, Iraq, Iran

2. Topics: Understand chapters 9 and 10 and the following topics

Who trades currencies and why? 
Black market
Reserves
Hard, soft, fixed, pegged, floating, managed, convertible, and safe haven currencies
Bid price, ask price, and spread
PPP
IMF
Currency futures, options, swaps, forward contract, exposure netting and credit hedging
Hedging, arbitrage and speculating
Spot rate, cross rate, forward rate
Predicting currency values (consider account balances, inflation, hyperinflation, interest rates, economic growth, economic and political stability, debt, reserves, trends, investor psychology/behavioral factors)
Why lead (pay early) or lag (pay as late as possible) payments
Euro versus eurocurrency; what is each and what is the difference?
International capital market
Equity, stock, debt, bond (domestic, foreign, eurobond)
Currency exchange controls or restrictions and reasons given for them
Nominal and real interest rates
Impact of currency value changes on importers, exporters, and consumers
Currency appreciation, depreciation, devaluation, revaluation
Currency trading at a premium and discount
Countertrade and barter
Foreign exchange rates, markets, and risk
Offshore banks and banking (few regulations and restrictions plus better rates)