Examples of Transfer Risk Include

question 14

Multiple Choice

Examples of transfer risk include

• A)the unexpected imposition of capital controls, inbound or outbound, and withholding taxes on dividend and interest payments.
• B)unexpected changes in environmental policies, sourcing/local content requirements, minimum wage law, and restriction on access to local credit facilities.
• C)restrictions imposed on the maximum ownership share by foreigners, mandatory transfer of ownership to local firms over a certain period of time (fade-out requirements), and the nationalization of local operations of MNCs.
• D)none of the above

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Definitions:

Ratify

To ratify is to formally approve or confirm an agreement or treaty, often by a vote or other formal decision-making process.

Customized

Refers to products, services, or solutions tailored to meet specific customer needs or preferences.

Repudiated

The act of rejecting or disavowing a claim, contract, or obligation, especially in a formal or official manner.

Enemy Alien

A non-citizen living in a country who is considered an enemy due to their nationality or citizenship during a time of war.