Imports Are

question 38

Multiple Choice

Imports are:

• A) goods or services purchased from a foreign resident.
• B) goods or services sold to foreign residents.
• C) goods only purchased from foreigners-you cannot purchase services from foreigners.
• D) services only-imports do not include goods.

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Definitions:

Economic Climate

The overall state of the economic environment, factoring in aspects like growth rates, employment levels, inflation, and consumer spending.

Financial Leverage

Financial leverage refers to the use of debt (borrowed funds) to amplify the potential returns to shareholders. It increases the potential for both gains and losses.

Operating Risk

The risk arising from the day-to-day operations of a company, indicating the variability in operating income due to changes in revenue and expenses.

Financial Risk

The potential for losses due to factors affecting the overall financial market or specific securities within a portfolio.