Capital Flight Occurs for Several Reasons, Most of Which Have

question 10

Multiple Choice

Capital flight occurs for several reasons, most of which have to do with

• A) government regulations on interest rates
• B) high taxes on domestic investments
• C) the threat of government seizure of domestic assets
• D) inappropriate economic policies

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Definitions:

Inventory System

A system for tracking a company's goods and materials, managing the process of ordering, storing, and using the company's inventory.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board for global use.

Perpetual

A method of inventory management where updates are made continuously as transactions occur.

Income Summary

An account used during the closing process that summarizes revenues and expenses for a specific accounting period before the net income or loss is transferred to retained earnings.