Which of the Following Statements Is Correct

question 34

Multiple Choice

Which of the following statements is correct?

• A) FDI stock is a total accumulation of inbound FDI in a country or outbound FDI from a country.
• B) MNEs are firms that engage in FDI.
• C) FDI refers to directly investing in activities that control and manage value creation in other countries.
• D) All of these answers are correct.

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Definitions:

Statement Of Cash Flows

A financial statement showing the cash inflows and outflows for a business over a specific period, categorized into operating, investing, and financing activities.

Presentation Of Activities

Presentation of activities typically refers to the manner in which a company's or organization's actions and functions are organized, documented, and reported.

Operating

Pertaining to the day-to-day functioning and management of a business or enterprise, often related to producing or offering goods and services.

Cash Flow

The total amount of money being transferred into and out of a business, affecting the company's liquidity.