The Foreign Corrupt Practices Act (FCPA)

question 34

Multiple Choice

The Foreign Corrupt Practices Act (FCPA) :

• A) can fine individuals up to $2 million and five years in prison for violations of the law's bribery provisions.
• B) makes it a criminal rather than a civil offense to bribe an official of a foreign government.
• C) makes it legal for bribes paid by managers of one corporation to managers of another.
• D) contains an exception for facilitating payments intended only to restrict "routine governmental action."

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Definitions:

Straight-line Method

A method of calculating depreciation whereby an asset's cost is evenly spread over its useful life.

Salvage Value

The estimated residual value of an asset at the end of its useful life, often considered for depreciation calculations.

Useful Life

The estimated duration a fixed asset is expected to be economically usable, with normal repairs and maintenance, for it to generate revenue.

Leasehold Improvements

Enhancements made to rental premises by a tenant, such as additions or renovations, which typically revert to the landlord upon lease termination.