Today for an MNC to Produce Merchandise in One Country

question 97

Multiple Choice

Today for an MNC to produce merchandise in one country on capital equipment financed by funds raised in a number of different currencies through issuing securities to investors in many countries,and then selling the finished product to customers in yet other countries is

• A)not uncommon.
• B)extremely common.
• C)uncommon.
• D)the norm.

---

Definitions:

Exchange-Traded Fund

An Exchange-Traded Fund (ETF) is a type of investment fund and exchange-traded product, the shares of which are traded on stock exchanges.

Market Beta

A measure of a stock's volatility in relation to the market; a beta greater than 1 indicates higher volatility than the market.

Market Portfolio

A theoretical bundle of investments that includes every type of asset available in the market, with each asset weighted according to its market capitalization.

Composition

The makeup or structure of something, such as the arrangement and proportion of parts within a work of art or a financial portfolio.