Which One of the Following Statements Is TRUE

question 136

Multiple Choice

Which one of the following statements is TRUE?

• A) Countries with strong investment opportunities should invest little at home and channel their savings into more productive investment activity abroad.
• B) Countries with weak investment opportunities should invest little at home and channel their savings into more productive investment activity abroad.
• C) Countries with weak investment opportunities should invest more at home.
• D) Countries with weak investment opportunities should invest little abroad.
• E) Countries with weak investment opportunities should invest little abroad and channel their savings into more productive investment activity domestically.

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Definitions:

Rate of Yield

The return on an investment expressed as a percentage, which can be calculated based on income received and the original or current value of the investment.

Differential Rate

A differential rate refers to a pricing strategy where the rate charged varies based on certain conditions or parameters, often seen in shipping or finance sectors.

Commission Charges

Fees paid to agents or brokers for their services, typically a percentage of the transaction value.

Total Purchase Costs

refers to the aggregate cost of buying an item or service, including the purchase price, taxes, shipping, and any additional fees.