Foreign Direct Investment Is When

question 147

Multiple Choice

Foreign direct investment is when:

• A)a firm runs part of its operation abroad or invests in another company abroad.
• B)investors buy foreign financial assets like stocks,bonds,or government securities.
• C)investment is funded by foreign sources but operated domestically.
• D)None of these statements is true.

---

Definitions:

Cost of Goods Sold

The total cost associated with making or acquiring any goods sold during a reporting period, including material, labor, and overhead costs.

Gross Profit

The financial profit a company makes after subtracting the cost of goods sold from total sales revenue.

Cost of Goods Sold

The total expense of producing or purchasing the goods that were sold to customers during a specific period.

Merchandise Sold

The goods that a company has sold to its customers; relates to revenue generation in businesses dealing with physical products.