Which of the Following Best Expresses the Benefit from International

question 158

Multiple Choice

Which of the following best expresses the benefit from international trade?

• A)With trade, each country can concentrate on producing those goods and services that it produces most efficiently.
• B)With trade, a country can increase its political involvement on a global scale.
• C)Increased U.S.trade would improve high-tech exports but not agricultural exports.
• D)Increased trade would increase U.S.exports and decrease U.S.imports.
• E)Increased trade implies that exports of goods and services will always equal imports of goods and services.

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Definitions:

Initial Value Method

An accounting approach for investments, where the investment is recorded at its acquisition cost without reflecting changes in its underlying value over time.

Markup

The amount added to the cost price of goods to cover overhead and profit, determining the selling price.

Inventory Transfers

The movement of inventory from one location to another within the same organization, often for the purpose of optimizing stock levels across different locations.

Effective Income Tax Rate

The average percentage of their income that individuals or corporations pay in taxes, considering various deductions and exemptions.