The Investment When a Firm Runs Part of Its Operation

question 114

Multiple Choice

The investment when a firm runs part of its operation abroad or invests in another company abroad is called:

• A) portfolio investment.
• B) import investment.
• C) export investment.
• D) foreign direct investment.

---

Definitions:

Credit Sale

A transaction where goods or services are provided to a customer with the agreement that payment will be made at a later date.

Usable Form

A state in which information or data is organized and formatted in such a way that it can be easily understood and utilized by its intended users.

Debt Ratio

A financial ratio that measures the extent of a company's leverage, calculated by dividing total liabilities by total assets.

Total Debt

The sum of all financial obligations a company or individual owes to outside parties, which can include loans, bonds, mortgages, and other forms of debt.