When a Peruvian Buys a U

question 67

Multiple Choice

When a Peruvian buys a U.S. government bond, from the perspective of Peru, this is a(n) :

• A)import.
• B)export.
• C)capital outflow.
• D)capital inflow.

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Definitions:

Constructive Notice

Notice presumed by law that an individual should have known, often through the public recording of documents, even if they were unaware.

Perfect Security Interest

An interest that is legally protected and established in a way that no other claimant can have a higher claim upon the collateral in question.

Purchase Money

Funds that are used specifically for the acquisition of assets, often related to real estate transactions or personal property.

Installments

Payments that are made periodically towards a debt, allowing for the total amount to be paid off over time rather than all at once.