CMA1.B3.a. summarize the functions of the World Bank and the International Monetary Fund
CMA1.B3.b. define direct foreign investment and demonstrate an understanding of how it can benefit a firm
CMA1.B3.c. define an American Depository Receipt (ADR)
CMA1.B3.d. identify and explain the benefits of international diversification
CMA1.B3.e. define Direct Foreign Investment
CMA1.B3.f. identify the risks of direct foreign investment, including political risk and exchange rate risk
CMA1.B3.g. demonstrate an understanding of the issues inherent in multinational capital budgeting and financing
CMA1.B3.h. calculate the overall expected return and variance of a “portfolio” of projects
CMA1.B3.i. identify and explain methods of payment for international trade, including prepayment, letters of credit, sight drafts, time drafts, consignment, and open account
CMA1.B3.j. identify and explain common trade financing methods, including cross-border factoring, letters of credit, banker’s acceptances, forfaiting, and countertrade
CMA1.B3.k. demonstrate an understanding of how transfer pricing is used by multinational firms to manage their effective worldwide tax rate
CMA1.B3.l. identify legal and ethical issues in conducting business worldwide