Cost of capital in global markets

DGP Inc is planning an expansion of its business operations internationally by adding a subsidiary (FDI) in Spain. The CFO has approached three investment banks, 2 in the USA and 1 in Europe, to provide the firm with financial information regarding the cost of capital in their respective markets, and also in major capital markets globally.


Don't use plagiarized sources. Get Your Custom Essay on
Cost of capital in global markets
Just from $13/Page
Order Essay
  1. Explain what is meant by global sourcing of capital. 
  2. Explain what is meant by the terms Systematic risk, Unsystematic risk, and Beta as related to Investment in shares of public organizations.  
  3. According to Eiteman, Stonehill, and Moffett (2010) “Depository receipts (depository shares) are negotiable certificates issued by a bank to represent the underlying shares of stock, which are held in trust at a foreign custodian bank” (p. 393) Define and contrast American Depository Receipts (ADRs,) and Global Depository Receipts (GDRs). 
  4. What is meant by the term “Cross-Listing?” 
  5. What is the difference between “Eurodollars” an “Euronotes?”


Calculate the price of your paper

Total price:$26
Our features

We've got everything to become your favourite writing service

Need a better grade?
We've got you covered.

Order your paper