A Certificate That Represents Shares of a Foreign Stock Issued

question 26

Multiple Choice

A certificate that represents shares of a foreign stock issued by a U.S.bank is called an:

• A) Letter of credit
• B) American depository receipt
• C) Foreign credit
• D) Exchange contract

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Definitions:

Price Takers

Firms or individuals who accept the market price as given and have no influence to change it.

Product Variety

The range of different goods or services offered by a company or available in a market.

Competitive Price-Searcher

A market participant who sets their prices based on competition and market conditions, often adjusting to attract consumers while remaining profitable.

Demand Conditions

The factors that affect consumers' desire and ability to purchase a product, influencing its market demand.