For Foreign Direct Investment (FDI)to Occur,a Firm Should Primarily

question 4

Multiple Choice

For foreign direct investment (FDI) to occur,a firm should primarily

• A)conduct cross-border bartering with neighboring countries.
• B)invest resources in business activities outside its home country.
• C)export goods or services to consumers in another country.
• D)import goods or services from producers in another country.
• E)erect formidable barriers to international trade.

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Definitions:

Date of Payment

The specific date on which a declared dividend is paid out to shareholders or a debt obligation is fulfilled.

Ex-Dividend

A status indicating that a stock is trading without the right to receive the most recently declared dividend.

Declared Dividends

Dividends announced by a company's board of directors that are to be paid out to shareholders.

High-Dividend-Payout

Strategy by which a firm distributes a significant portion of its profits in the form of dividends to its shareholders.