Which of the Following Are Not True in Regards to Small

question 13

Multiple Choice

Which of the following are not true in regards to small and medium-sized enterprises (SMEs) .

• A) They create approximately 50% of total value added in the world.
• B) They generate 60-90% of employment, depending on where they are located.
• C) Each year 4-6% of adult working population in North America, Western Europe, Central and Eastern Europe attempt to start a new venture.
• D) Around the world, a majority of entrepreneurial firms succeed within 6 years

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Definitions:

Exchange Rate

The rate at which one currency will be exchanged for another currency.

Absolute Purchasing Power Parity

The theory that in the absence of transaction costs and barriers to trade, identical goods will have the same price in different countries when expressed in a common currency.

Exchange Rates

The value of one currency for the purpose of conversion to another, impacting international trade and investment.

Absolute Purchasing Power Parity

A hypothesis positing that when there are no transportation or transaction expenses, the same products in various nations ought to be priced equally if priced in the same currency.