1. Investments in Global Markets”

1. Investments in Global Markets”

Use the Internet to research capital investments in global markets. Next, analyze the main factors that an organization should consider in determining the required rate of return for evaluating projects in global markets and the impact that this will have on decision making.

• Imagine that you are the CFO of a U.S.-based international manufacturing company. Propose two (2) actions that you would take in order to defend the difference in the required rate of return for your company on similar projects in an established market, as compared to the same investment in an emerging market. Provide a rationale for your response.

2. Cash Flow Statements and Cash Hoards”

Apple Inc. and Microsoft Corp are identified as companies that have accumulated substantial sums of cash. Microsoft and Apple increased dividend payouts and acquired treasury stock to return some of the excess cash to shareholders. Use the Internet to identify (1) one additional large company that is currently accumulating a cash hoard. Next, evaluate how the company identified in your research can use the cash flow statement to project efficient uses of the cash hoard it has accumulated.

• Suggest at least two (2) advantages and two (2) disadvantages of companies accumulating cash hoards. Provide a rationale for your suggestion.