Assume an FI Holds US$200 000 in Assets and US$150

question 10

Multiple Choice

Assume an FI holds US$200 000 in assets and US$150 000 in liabilities. Which of the following statements is true?

• A) The FI has a net long in US$.
• B) The FI has a net short in US$.
• C) The FI has a net exposure of $50 000.
• D) The FI has a net exposure of -$50 000.

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Definitions:

Highly Educated Workers

Individuals who have attained a high level of education, typically resulting in specialized skills and knowledge.

Low-income Countries

Nations with a gross national income (GNI) per capita significantly lower than the global average, often characterized by limited economic resources and infrastructure.

High-income Countries

Nations with a gross national income per capita significantly above the global average, indicating advanced economic development.

Total Wage Bill

The total wage bill refers to the aggregate amount of wages paid by an employer or within an economy to its employees over a certain period.