Which One of the Following Is NOT an Advantage That

question 68

Multiple Choice

Which one of the following is NOT an advantage that American Depository Receipts (ADRs) have over investing in actual shares of a foreign stock?

• A) ADRs are an effective barrier to foreign currency risk.
• B) Unlike direct foreign stock, ADRs have financial statements presented in a GAAP format.
• C) Dividends are paid in dollars and are easier to collect than actual shares of foreign stock.
• D) ADRs are more liquid and less expensive than buying foreign stock directly.

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Definitions:

Joseph de Maistre

A French-speaking Savoyard philosopher and diplomat, best known for his defense of monarchism and his views on the role of the Catholic Church within society during the post-Revolutionary era.

Natural Rights

Fundamental human rights based on natural law, presumed to be inherent and inalienable, such as life, liberty, and the pursuit of happiness.

God-Given Rights

Fundamental rights believed to be granted to individuals by a divine power, universal and unalienable, often referenced in the context of natural law and human rights discourse.

Congress of Vienna

A conference held in Vienna in 1814-1815 by major European powers to redraw the continent's political map after the defeat of Napoleonic France.