International Financial Management provides a strong foundation for students' first encounter with the subject of international finance. As multinational corporations (MNCs) continue to expand their operations globally they must not only be properly managed to apply their comparative advantages in foreign countries, but must also manage their exposure to many forms and sources of risk. Those MNCs that are most capable of responding to changes in the international financial environment will be rewarded. The same can be said for today's students who become the MNC managers of the future. International Financial Management combines a strong foundation in international finance theory with current, practical applications. It provides thorough, up-to-date treatment of cutting-edge international finance issues along with traditional treatment of international financial management. This book, although it presumes an understanding of basic corporate finance, is renowned for its readability and clear explanation as well as its extensive use of hands-on, real-world applications and student-oriented pedagogy. It is suitable for both final-year undergraduate and master's level courses. The European edition replaces the majority of US examples in the text and questions with alternative UK and European examples. The default currency quoted in general examples is now Sterling or the euro rather than the US dollar. More-advanced topics have been added to extend the discussion, as well as specifically European issues such as the euro, European financial integration and the history of exchange rates.