______

1. There are a number of excellent textbooks on international finance. Two very popular text books are: Eitman, D.K. and A.F. Stonehill, Multinational Business Finance, Addison-Wesley, 1995; and Shapiro, A.C., Multinational Financial Management, Prentice-Hall International, 1996.

2. The interest rate parity condition can be alternatively written as follows:

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3. The purchasing power parity condition can be alternatively written as follows:

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4. The alternative formula is:

5. The alternative formula is:

6. The alternative formula is: ...

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