AFIN 8008 & 7008 Assignment Instruction

Due Date

The due date of this assignment is 23:59 Friday 16 October 2020.

Academic Honesty

This is an individual assignment. Students are expected to work independently on the assignment tasks. The similarity of assignment answers will be checked in Turnitin. Any plagiarism, collusion and other dishonest behaviour will be penalized subject to the university Academic Integrity Policy. You are highly recommended:

•not to share your document by any means with another student,

•not to attend any private tutoring session on this assignment, and

•not to use any assignment help service from a third party.

The teaching team is keen to help. Please do not hesitate to contact lecturers for support. Assignment Tasks

In this assignment, you will research the topic on corporate financing decisions of multinational firms and write a research report to answer the following 3 (or 4) questions:

1.Based on the capital structure theories, discuss how firms make financing decisions. In general, what are major factors to consider when making capital structure decisions? For multinational firms, what are the additional factors to consider when marking financing decisions? You can base your discussion on the research paper “The Corporate Finance of Multinational Firms”. You can download the paper from SSRN at https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3535761 or from iLearn.

2.Find a real corporate financing case of a multinational firm and demonstrate how the multinational firm raise capital in practice. Discuss whether it is consistent with capital theories or not and explain why or why not. What are the obstacles (e.g., government interventions) confronting the capital raising of the multinational firm? Note: in your discussion, you should first briefly describe the case. You can use some data from corporate financial report, press release, earnings conference call and some charts to support your arguments.

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3.Discuss how the rise of nationalism will affect the international financial markets and corporate financing decisions of both domestic and multinational firms.

4.What will likely to be the trend post COVID-19 crisis? (Additional question for Master of Research student only.)

Assignment Presentation Requirements:

1.Use Portrait orientation.

2.Use Times New Roman font, size 12 points.

3.Use 1.5 spacing.

4.Use A4 paper.

5.Maximum 1, 500 words. Tables, diagrams, and the reference list are not included in word count. You may exceed the word count by 10%. Please DO NOT attach any appendix to your assignment and DO NOT show unnecessary workings (e.g., a fully page Excel model) in your assignment.

6.Make sure to edit your assignment before submitting. The font, size, alignment, line space must be consistent throughout. Tables and diagrams should be numbered and captioned. You are expected to use tables and diagrams to summarize or emphasize findings but the information in a table/diagram must be referred to and clearly explained in-text.

7.Referencing: Make sure to acknowledge your data resources appropriately. Citations and the reference list must be prepared following Harvard style referencing.

The report must contain the following:

1.Cover page – including course name, day and time of your class, title of report, student’s full name and student ID.

2.Section 1. Introduction – Provide a road map of how the essay is structured.

3.Body – Include at least 3 (or 4) sections to answer the 3 (or 4) questions that are listed in the assignment tasks. Use section headings, such as Section 2. Capital Structure determinants, Section 3. Case study, and Section 4. Future trends.

4.Section 5. Conclusion – This is not a summary, but states some of the key issues you have found from the research and why it is important to managing firms.

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5. Bibliography

Submission

The assignment must be submitted via Turnitin before 23:59 Friday 16 October 2020.

No extensions will be granted. There is penalty for late submission. 10%-mark deduction for each 24-hour period delay. For example, 20% penalty applies if late by 25 hours after the due date of submission. This penalty does not apply for cases in which an application for special consideration is made and approved. No submission will be accepted after solutions have been posted.

Marking Criteria

See iLearn site for the marking rubri