Capital Flight Refers to

question 122

Multiple Choice

Capital flight refers to

• A)the movement of workers across international borders in response to exchange rate changes.
• B)the movement of funds between financial intermediaries when interest rates change.
• C)the ability of foreign direct investment to lift a country out of poverty.
• D)a large and sudden movement of funds out of a country.

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Definitions:

First-In, First-Out

An inventory valuation method where items acquired or produced first are sold or used first, assuming the oldest inventory is disposed of before newer inventory.

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and are a significant portion of the production cost.

Materials Equivalent Units

A measure used in process costing that represents the amount of materials put into production, adjusted for any unfinished work.

First-In, First-Out

An inventory valuation method where the goods first added to inventory are the first ones to be sold.