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What Is the Distinction Between Foreign Direct Investment and Foreign

question 186

Essay

What is the distinction between foreign direct investment and foreign portfolio investment?

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Definitions:

Sole Proprietors

Individuals who own and operate their business by themselves, having complete control and bearing ultimate legal and financial responsibility.

Asset

Anything of value owned by a person or company that can be used or sold to pay debts or generate income.

Debt

Money owed by one party to another under an agreement to repay borrowed funds or provided goods/services.

Profit

Profit represents the financial gains obtained when the revenues generated from business activities exceed the expenses, costs, and taxes needed to sustain those activities.

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