Question 1 (1 point) Saved Risk in international business. Are Multinationals riskier than purely domestic firms? Question 1 options: Yes, because they are exposed to country risk in host countries Yes, because they are exposed to foreign exchange risk No, because their portfolio of national activities is better diversified as they operate in countries whose business cycles are not perfectly correlated. No, because their stock are listed in several capital markets Question 2 (1 point) Saved When Ford Moors Company repatriates dividends from its Chinese subsidiary the transaction is recorded under: Question 2 options: Capital account Balance of invisible trade Official reserves account Income account None of the above Question 3 (1 point) Saved This study source was downloaded by 100000862141889 from CourseHero.com on 02-15-2023 08:26:17 GMT -06:00 https://www.coursehero.com/file/162921433/Question-FIN-640-Quiz-1-Attempt-1-Fall-2022docx/ When Thailand's Provident Fund sells US treasuries it is recorded as: Question 3 options: A credit to the US current account A debit to the official reserve account A debit to the trade account A credit to the service account All of the above None of the above. Question 4 (1 point) Saved Under a "clean" exchange rate system Question 4 options: The balance of payments balances The current account surplus/deficit is exactly offset by the capital account deficit/surplus The official reserves accounts remained unchanged None of the above All of the above Question 5 (1 point) Saved A country's balance of payments is analogous to This study source was downloaded by 100000862141889 from CourseHero.com on 02-15-2023 08:26:17 GMT -06:00 https://www.coursehero.com/file/162921433/Question-FIN-640-Quiz-1-Attempt-1-Fall-2022docx/ Question 5 options: A firm's income statement A firm's balance sheet A firm's cash-flow statement A firm's 10K Question 6 (1 point) Saved If the US private sector saves 7% of GDP and invests 4% of GDP and the US government runs a budget deficit of 7% of GDP: Question 6 options: The US Federal Reserve System will accumulate foreign exchange reserves amounting to 4% of GDP The US capital account will be in deficit to the tune of 3% of GDP The US balance of payments will balance The US current account will balance The US current account will be in deficit to the tune of 4% of GDP Question 7 (1 point) Saved Locus of financial decision-making. Where should the locus of financial decision making be housed in the case of a mature multinational corporation implementing a global strategy? Question 7 options: This study source was downloaded by 100000862141889 from CourseHero.com on 02-15-2023 08:26:17 GMT -06:00 https://www.coursehero.com/file/162921433/Question-FIN-640-Quiz-1-Attempt-1-Fall-2022docx/ At regional re-invoicing centers Always at headquarters Always at subsidiaries Tightly integrated within all three of the above Question 8 (1 point) Saved The reach of globalization. Which market has been most impacted by globalization? Question 8 options: Market for patents Market for goods Market for services Market for labor Market for money Submit Quiz8 of 8 questions saved This study source was downloaded by 100000862141889 from CourseHero.com on 02-15-2023 08:26:17 GMT -06:00 https://www.coursehero.com/file/162921433/Question-FIN-640-Quiz-1-Attempt-1-Fall-2022docx/ Powered by TCPDF (www.tcpdf.org)
