Which of the Following Statements Is True About the Changing

question 124

Multiple Choice

Which of the following statements is true about the changing foreign direct investment picture of the global economy?

• A) Throughout the 1990s, the amount of investment directed at both developed and developing nations decreased dramatically.
• B) There has been a fall in the share of FDI stock accounted for by developing nations reflecting a declining trend for firms from these countries to invest outside their borders.
• C) Among developing nations, the lowest recipient of foreign direct investment has been China.
• D) The share of FDI stock accounted for by U.S. firms has been drastically increasing from 1980s.
• E) The sustained flow of foreign investment into developing nations is an important stimulus for economic growth in those countries.

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Definitions:

Income Statement

A financial statement that shows a company's financial performance over a specific period, detailing revenues, expenses, and profit or loss.

Balance Sheet

A financial report detailing a company's possessions, debts, and owner's equity at a particular moment.

Operating Cycle

The duration of time it takes for a company to purchase inventory, sell it, and convert the sale into cash.

Financial Data

Financial data consists of records, figures, and quantitative information related to the financial status, operations, and performance of an entity.