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FACULTY OF BUSINESS AND MANAGEMENT UNIVERSITY TECHNOLOGY MARA CAMPUS SEGAMAT BACHELOR OF BUSINESS IN FINANCE (HONS) INTERNATIONAL FINANCIAL MANAGEMENT (FIN542) INDIVIDUAL ASSIGNMENT TITLE : INDIVIDUAL WRITTEN REPORT PREPARED BY : CLASS: JBA2723B PREPARED FOR: DR NUR LIYANA MOHAMED YOUSOP SUBMISSION DATE: 23 OCTOBER 2026 NAME CLASS STUDENT I/D RAJA SYAZA UMAIRAH BINTI RAJA SHARUDDIN JBA2723B 2025480628
TABLE OF CONTENTS QUESTION 1............................................................................................................ 4 QUESTION 3............................................................................................................ 6 REFERENCES .......................................................................................................... 7
QUESTION 1 A country's balance of payments (BOP) accounts track its payments to and receipts from foreigners. Based on the following cases, determine the international transaction recorded in the Malaysian Balance of Payments accounts. Complete the table by providing the Type of Account Recorded, the Inflow/Outflow of Funds, and a brief Explanation for each transaction. Case Transaction Scenario Type of Account Recorded Inflow / Outflow of Funds Explanation i A Malaysian company pays interest for bond investments to a European investor. Current Account Outflow This is a payment made to foreigners for primary income ii A Malaysian company has sold an Indonesian factory. Capital Account Inflow It represents a disposal of direct investment assets abroad, bringing capital back into Malaysia. iii The Malaysian government sells foreign currencies to purchase the Malaysian ringgit. Financial Account Inflow Bank Negara Malaysia is reducing its foreign currency reserve holdings and resulting in an inward flow of foreign funds
iv A Malaysian company exports Malaysian batik to a French company. Current Account Inflow This is a credit item under the goods component as money enters the country from the sale of exports v Malaysia channelled USD 2 million to Türkiye and Syria to help earthquake victims. Current Account Outflow This is under secondary income, it represents foreign aid. vi Ahmad, who works in the United States, transfers USD 1,000 to his parents in Malaysia monthly. Current Account Inflow This constitutes a personal transfer from a non-resident worker and recorded under secondary income
QUESTION 3 The international monetary system has evolved through several stages: the Classical Gold Standard, Interwar Period, Bretton Woods System, and Post-Bretton Woods Floating Exchange Rate System. Explain the main features of each stage and discuss ONE (1) major advantage and ONE (1) major disadvantage of each system.
REFERENCES ➢ Slide (FIN542) Chapter 2, Prepared By: Dr Nur Liyana Mohamed Yousop ➢ Evolution of the International Monetary System Comic Prompt "A 4-panel educational comic strip layout illustrating the evolution of the international monetary system across history. Panel 1 (Top-Left): 'Classical Gold Standard (1870s– 1914)' showing a 19th-century banker in a top hat pointing to a large shiny gold bar connected to various world currency symbols, with text boxes explaining fixed rates tied directly to gold. Panel 2 (Top-Right): 'Interwar Period (1918–1939)' showing economic chaos, a distressed citizen with a suitcase of devalued money, downward stock market graphs, and newspaper headlines about competitive devaluations and the Great Depression. Panel 3 (Bottom-Left): 'Bretton Woods System (1944–1971)' showing delegates at the 1944 conference around a table with US dollars pegged to gold, foreign currencies pegged to the dollar, and the IMF and World Bank buildings in the background. Panel 4 (Bottom-Right): 'Post-Bretton Woods System (1973–Present)' showing a modern trader on a stock floor with multiple computer screens displaying volatile floating exchange rates, currency symbols floating dynamically, and text explaining market- determined currency values. Vibrant comic book style, bold headers, clear speech bubbles, readable captions, clear panel borders."