Which of the Following Is LEAST Likely to Be Used

question 23

Multiple Choice

Which of the following is LEAST likely to be used by home-country governments to promote outbound foreign direct investment?

• A)Offering tax breaks on profits earned abroad.
• B)Granting loans to firms wishing to increase their investments abroad.
• C)Eliminating ownership restrictions on nondomestic investors.
• D)Offering insurance to cover the risks of investments abroad.

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Definitions:

Anticipated Growth Rate

An expectation of the rate at which a company, asset, or economy will grow in a future period, often used in investment analysis.

Return On Equity

A measure of a corporation's profitability, indicating how much profit a company generates with the money shareholders have invested.

Dividend Per Share

The amount of dividend that a company pays out over a year divided by the total number of its outstanding shares.

Earnings

The net amount of money a company earns during a specific period, often reported quarterly or annually, indicating its profitability.