In Which of the Following Situations Would FDI Improve the Current

question 67

Multiple Choice

In which of the following situations would FDI improve the current account of the host country's balance of payments?

• A) If the foreign subsidiary imports a substantial number of its inputs from abroad
• B) If the FDI reduces existing employment opportunities
• C) If the FDI is a substitute for imports of goods or services
• D) If the FDI results in substitution of products produced domestically

Understand human resource segmentation and its role in customizing HR practices at the employee level.

Understand the impact of President Truman and Eisenhower's policies on post-Second World War America.

Analyze the influence of political movements and legislation on American society and its demographics during the 1940s and 1950s.

Recognize key legislative acts and their impacts on labor, civil rights, and education.

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Definitions:

Bonds Payable

A form of long-term debt issued by corporations or governments that promises to pay the bondholder a specified sum of money at future dates.

Consolidated Income Statement

A financial statement that aggregates the income and expenses of a parent company and its subsidiaries, presenting a unified financial performance.

Interest Expense

The cost incurred by an entity for borrowed funds, typically recognized on the income statement.

Goodwill

An intangible asset that arises when one company acquires another for a price higher than the fair value of its net tangible assets, representing elements like brand, customer base, and reputation.