The Record of Investing in U.S.-Based MNCs

question 51

Multiple Choice

The record of investing in U.S.-based MNCs

• A)shows that the share prices of U.S.-based MNCs behave much like those of domestic firms, without providing effective international diversification.
• B)shows that the share prices of U.S.-based MNCs behave much differently than those of domestic firms, providing effective international diversification.
• C)shows that the share prices of U.S.-based MNCs behave much like the currency returns of their foreign markets.
• D)none of the above

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Definitions:

Not Guilty

A legal verdict stating that there is not enough evidence to prove beyond a reasonable doubt that the accused committed the offense.

Irresistible Impulse Test

A legal defense principle suggesting a person should not be held responsible for their actions if they could not control their impulses due to a mental illness.

Fit of Passion

An intense and sudden display of emotion, such as anger or excitement, that can result in unpredictable behavior.

M'Naghten Rule

A legal standard for determining criminal insanity, which focuses on whether the defendant was able to understand the nature and quality of the act or knew it was wrong.