Currency Option

Step 2Choose two topics (total) for which you will conduct internet research.Be sure the choices come from two different chapters.For example, you may choose foreign direct investments from Chapter 1 and bid-ask spread from Chapter 7.

Step 3Conduct internet research that identifies at least 2 websites that discuss or involve the topic you have chosen.Include a last page for your website references and format them in APA style.

Step 4Write a paragraph of at least 7 sentences summarizing what the website shows related to your topic.Be sure to supply citations in the paragraph (in APA format) that refer to the websites you have found.Avoid using quotes as these will NOT count toward the 7 sentence minimum.

CHAPTER ONEArbitrageForeign direct investmentGlobalizationMultinational corporationTax arbitrageTWOCurrency depreciationExchange rateFreely Floating exchange ratePegged currencyFOURCovered interest arbitrageFisher EffectInterest Rate ParityInternational Fisher EffectLaw of One PricePurchasing Power ParityUnbiased forward rateSEVENBid-ask spreadCHIPSCross rate currency arbitrageDirect quotationForward contractForward premiumHedgersHerstatt riskIndirect quotationInterbank marketSWIFTSpot marketSpot price

EIGHTAmerican optionAt-the-moneyCall optionCurrency futureCurrency optionEuropean optionExercise (strike) priceFutures contractInitial marginIn-the-moneyMaintenance marginMargin callMarking to marketOut-of-the-moneyPut optionEIGHTEENBanker’s acceptanceBill of ladingCash in advanceCommercial invoiceConfirmed letter of creditDiscountingDraftExport credit insuranceFactoringForfaitingIrrevocable Letter of CreditNonrecourseOpen account salesRecourseSight draftTime draft

FIRST MIDTERM PART TWO RUBRIC

Outstanding(50-41 points)	Well-done(40-30 points)	Acceptable(29-20 points)	Incomplete(19-10 points)	Not acceptable(9-0 points)
CLARITY	Writing and examples are clear and easily understood	90% of the text is clear and provides examples that are easily understood	80% of the text is clear and provides adequate examples that are easily understood	50-70% of the text is clear and provides some examples that may be easily understood	Less than 50% of the text is clear and provides few or no examples that may be easily understood
COMPREHENSION	Illustrates the topic choice with more than enough high-quality data	Illustrates the topic choice with enough good quality data	Illustrates the topic choice with minimal but adequate quality data	Illustrates the topic choice with not enough or poor quality data	Illustrates the topic choice with little or no data and poor quality
COMPLETE	Provides more than 7 complete sentences for each topic choice	Provides 7 complete sentences for each topic choice	Provides 7-6 complete sentences for each topic choice	Provides 6-5 complete sentences for each topic choice	Provides less than 5 complete sentences for each topic choice
REFERENCES	More than 2 websites for each topicchosen	2 websites for each topicchosen	less than 2 websites for each topicchosen	few websites for each topicchosen	Missing websites for each topicchosen
APA FORMAT/ GRAMMAR	All references and citations present and in correct APA formatNo typos, spelling or grammar errors	90% of references and citations in correct APA format.1-2typos, spelling or grammar errors	75% of references and citations in correct APA format.3-5 typos, spelling or grammar errors	50% of references and citations in correct APA format.6-7 typos, spelling or grammar errors	Less than 50% of references and citations in correct APA format.More than 7 typos, spelling or grammar errors