Which of the Following Statements Is Most Correct

question 58

Multiple Choice

Which of the following statements is most correct?

• A)The Export-Import Bank is a United States government-sponsored institution which is owned by member banks that deal in financing foreign trade.
• B)Foreign exchange markets can be characterized most properly as a communication network among many financial institutions than as an identifiable geographic location.
• C)When a financial institution with accounts abroad sells claims against those accounts, it must replenish those accounts by borrowing abroad or shipping currency.
• D)The banker's sight draft is the most expensive way to purchase a claim to foreign exchange.

Analyze the impact of location economies on international business strategies.

Evaluate the role of cultural and market understanding in implementing international strategies.

Discuss the challenges and strategic decisions involved in achieving global integration while maintaining local responsiveness.

Understand the role of knowledge flow and innovation in global business strategies.

---

Definitions:

Taxable Income

The portion of an individual's or business's income used to determine how much tax will be owed to the federal government.

Marginal Tax Rate

The percentage of tax applied to an individual's or entity's income for each additional unit of income.

Taxable Income

The amount of income used to calculate how much tax an individual or a company owes to the government in a given tax year.

Progressive Tax

A tax system in which the tax rate increases as the taxable amount increases, typically imposing higher rates on those with higher incomes.