Intangible Assets Are Often Hard to Package and Sell to Foreigners

question 79

Multiple Choice

Intangible assets are often hard to package and sell to foreigners

• A)because they usually default on the contracts that they sign.
• B)and as a result,there is more FDI than there might otherwise be.
• C)because property rights in intangible assets are difficult to establish and protect,especially in foreign countries where legal recourse may not be readily available.
• D)because property rights in intangible assets are difficult to establish and protect,especially in foreign countries where legal recourse may not be readily available.As a result of intangible assets being difficult to package and sell to foreigners,there is more FDI than there might otherwise be.

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Definitions:

Loan Liability

A financial obligation representing borrowed funds that the borrower is legally required to repay to the creditor, typically with interest.

Foreign Exchange Rate

The rate at which one currency can be exchanged for another, often used in international trade and investment.

Interest

The charge for borrowing money, calculated as a percentage of the amount borrowed.

Exchange Rates

The exchange value between two different currencies.