Instructions: Identify the Terms and Briefly State Their Historical Significance

question 62

Short Answer

Instructions: Identify the terms and briefly state their historical significance.
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Definitions:

Repatriating Profits

Refers to the process of transferring the profits earned from a foreign subsidiary back to the company’s home country.

Management Fees

These are fees paid to managers for their role in operating an investment fund, usually expressed as a percentage of assets under management.

Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.

Unbiased Forward Rate

An estimate of future spot interest rates implied by current interest rates, under the assumption that the forward rates are an unbiased predictor of future spot rates.