M.B.A. DEGREE EXAMINATION, NOVEMBER 2017
Third Semester
International Business
FOREIGN EXCHANGE MANAGEMENT
(CBCS 2016 onwards)
Time 3 Hours Maximum 75 Marks
Part A x 3 15)
Answer all questions.
All questions carry equal marks.
1. What is TT in Foreign Exchange?
2. How does a forward contract work?
3. What is a fixed exchange rate system?
4. What is the meaning of economic exposure?
5. Point out any three objectives of FEMA 1999.
Part B 10 50)
Answer all the questions, choosing either or
6. Elaborate the types of quotations in foreign
exchange.
Or
State the types of Foreign Exchange markets.
Sub. Code
652301
RW-799
2
Ws7
7. Give an account on differences between REER and
NEER.
Or
How does the purchasing power parity work?
8. What is the difference between Nostro and Vostro
account?
Or
Explain the impact of Monetary Policy on exchange
rates?
9. Enumerate the economic consequences of exchange
rate changes.
Or
Give an account on Foreign Currency options in
detail.
10. List out the objectives and features of FEMA.
Or
Explain the Foreign Exchange reserves in India and
also explain its composition.
Part C (1x 10 10)
Compulsory
11. What do you mean by Foreign Exchange Market? Discuss
in detail, the working of Indian Foreign Exchange
Market.
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