第1題WhichofthefollowingisidenticaltoInternationalFinance?AInternationalmicroeconomics

BInternationalmacroeconomicsCInternationaltrade

DInternationaleconomics第2題WhichisthemanagementgoaloftheMNC?AMaximizethestockprice

BPreventagencyproblemsCMinimizetheoperationcost

DMaximizetheprofits第3題Whichofthefollowingisnotthetheoreticalfoundationforfirmstopursueinternationalbusiness?AThelawofoneprice

BProductcycletheoryCTheoryofcomparativeadvantageDImperfectmarkettheory第4題WhichofthefollowingisnottheriskexposedtoMNC’scashflowswhendeterminingthevalueoftheenterprise?

AExposuretocultureshockBExposuretoforeigneconomiesCExposuretopoliticalriskDExposuretoexchangeraterisk第5題AgencyproblemsarelesscommoninMNCscomparedwiththatofdomesticcompaniesduetoamoreefficientmanagement.第6題Centralizedmultinationalfinancialmanagementallowsforhigherdegreeoffreedomforsubsidiariesinmakingcapitalbudgetingandfinancingdecisionscomparedtothedecentralizedform.第7題Jointventuresincludehigherriskscomparedwithtradeduetoahigherlevelofcapitalexposure.第1題Whatarethefactorsthatdeterminetradepatternsamongeconomies?AProximity

BTechnologyCResourcesDAlloftheabove第2題Balanceofpaymentsrecordsonlytradeactivitiesinsteadoffinancialactivities.

第3題Capitalaccountactivitiesusuallypossessahigherliquiditythancurrentaccount.

第4題Factorincomepaymentsistakendowninfinancialaccount.

第5題AMexicancompanythatborroweddollarsfromabankbasedintheUSsendsaninterestpaymenttothatbankandtheeventexistintheformofcreditontheUSbalancesheet.第6題TheUSprovidesaidtoCostaRicainresponsetoafloodinCostaRica,andtheeventexistintheformofdebitontheUSbalancesheet.第7題IBMheadquartersintheUSpurchasescomputerchipsfromSingaporethatitusesinassemblingcomputers，andtheeventexistintheformofdebitontheUSbalancesheet.

第8題Theoretically,thesumofacountry’scurrentaccountandcapitalaccountinagivenyeariszero.Inpractice,thisconclusionalsoholds.第9題Currentaccountdecreasesiftheinflationrisescomparedwithitstradepartners.第10題Currentaccountdecreasesifthenationalincomegoesuprelativetoothercountries.第11題Currentaccountsdecreasesifnationalincomeincreasesrelativetoothercountries.

第12題Quotaswilllimitthemaximumnumberofcommoditiesthatcanbeimportedfromabroadwithoutanincreaseinthepriceofthecommodity.第13題Inflowofinternationalfundscanlowerdownthelong-terminterestrateofaneconomyandpromotethegrowthofinvestment.

Quiz3第1題Whichofthefollowingisthefactorthatinfluencesthebid-askspreadofacurrency?ACurrencyriskBInventorycostCOrderCostDAlloftheabove第2題WhichofthefollowingstatementisfalseaboutE$/€=1.1AOnedollarisequalto1.1euro.BThisreferstothedirectquotationofexchangerateofeuro.CItstandsforthevalueofeurointermsofdollar.DAnincreaseintheexchangeratemeansthateuroisstronger.第3題Whichofthefollowingfactorscanimprovetheparticipationofstocktrading?

AShareholdervotingpowerBStrongSecuritiesLaws

CHighleveloffinancialdisclosureDAlloftheabove第4題Spottransactionsofforeignexchangeisanover-the-countermarket.第5題Thebid-askspreadmeasurestheprofitofabankintradingforeignexchange;therefore,atagivenpointoftime,thebidpriceshouldalwaysbehigherthantheaskprice.

第6題Revaluationofacurrencymeansthatthevaluewillbereevaluated,butnotnecessarilyanincrease.

第7題Forwardmarketisanover-the-countermarket.

第8題Anoptiononlyensuresrighttobuyacurrencyinsteadofthattosellacurrency.

第9題Youcanchoosenottoexercisethecontractwithaforwardbutnotwithafuture.

第10題Thefutureratedependsonthenegotiationpowerofthecounterparties.

第11題Asacreditor,youwouldliketolendinacurrencythatislikelytodepreciatetotheborrower.

第12題Eurocurrencysimplymeanseuro.Quiz4第1題Pleaseindicatewhichfactordoesn’tbelongtothetrade-relatedfactorofexchangerate?

AInflationdifferential

BInterestratedifferentialCIncomegrowthdifferentialDNoneoftheabove第2題Whichofthefollowingisincorrect?AIfyuanisdevaluedagainstdollarbyasmallerpercentcomparewiththedepreciationofeuroagainstdollar,thenyuanshouldberevaluedagainsteuro.

BIfyuanisunchangedagainstdollar,anddollarappreciatesagainsteuro,thenyuanappreciatesagainsteuro.CIfyuanisdevaluedagainstdollar,andyenappreciatesagainstdollar,thenyuanisdevaluedagainstyen.DNoneoftheabove第3題Whichofthefollowingstrategyisunwiseforaninvestor?

ABorrowacurrencytodepreciateBPurchaseacurrencytoappreciateCBorrowacurrencywithalowerinterestrateDNoneoftheabove第4題ThevalueoftheAustraliandollar(A)todayis0.73.Yesterday,thevalueoftheAustraliandollarwas$0.69.TheAustraliandollar____by____percent.Adepreciated;5.80Bdepreciated;4.00Cappreciated;5.80Dappreciated;4.00第5題Ifacurrency'sspotratemarketis____,itsexchangerateislikelytobe____toasinglelargepurchaseorsaletransaction.Aliquid;highlysensitiveBilliquid;insensitiveCilliquid;highlysensitiveDNoneofthesearecorrect.第6題AlargeincreaseintheincomelevelinMexicoalongwithnogrowthintheU.S.incomelevelisnormallyexpectedtocause(assumingnochangeininterestratesorotherfactors)a(n)____inMexicandemandforU.S.goods,andtheMexicanpesoshould____.Aincrease;appreciateBincrease;depreciateCdecrease;depreciateDdecrease;appreciate第7題AnincreaseinU.S.interestratesrelativetoGermaninterestrateswouldlikely____theU.S.demandforeurosand____thesupplyofeurosforsale.Areduce;increaseBincrease;reduceCreduce;reduceDincrease;increase第8題InvestorsfromGermany,theUnitedStates,andtheUnitedKingdomfrequentlyinvestineachother’scurrenciesbasedonprevailinginterestrates.IfBritishinterestratesincrease,Germaninvestorsarelikelytobuy____dollar-denominatedsecurities,andtheeuroislikelyto____relativetothedollar.Afewer;depreciateBfewer;appreciateCmore;depreciateDmore;appreciateQuiz5第1題Whichofthefollowingderivativescanrarelybeusedforspeculation?AForwardBFutureCCalloptionDPutoption第2題Whichofthefollowingstatementisincorrectaboutthedifferenceofforward&futures?AControllingotherfactors,usuallysmallcompaniestendtouseforwardwhilebigcompaniestendtousefutures.BYoucanchoosetheamountofcurrenciesincludedinthecontractwithaforwardbutnotwithafutureCYoucanchoosethetransactiondatewithaforwardbutnotwithafuture.DYoucannegotiatethepriceofaforwardbutnotwithafuture.第3題Ifthespotrateisabovethestrikeprice,theputoptionis_______,whilethecalloptionis________AOutofthemoney,inthemoneyBOutofthemoney,atthemoneyCInthemoney,atthemoneyDInthemoney,outofthemoney第4題Whichofthefollowingfactoroftheoptionpremiumhasadifferentcorrelationwiththepremiumforacalloptionandaputoption?

ADifferencebetweenspotrateandexerciserateBTimelengthbeforeexpirationCVolatilityoftheunderlyingcurrencyDNoneoftheabove第5題

Kalons,Inc.isaU.S.-basedMNCthatfrequentlyimportsrawmaterialsfromCanada.KalonsistypicallyinvoicedforthesegoodsinCanadiandollarsandisconcernedthattheCanadiandollarwillappreciateinthenearfuture.Whichofthefollowingisnotanappropriatehedgingtechniqueunderthesecircumstances?APurchaseCanadiandollarsforwardBPurchaseCanadiandollarfuturescontracts.CPurchaseCanadiandollarputoptionsDPurchaseCanadiandollarcalloptions第6題Graylon,Inc.,basedinWashington,exportsproductstoaGermanfirmandwillreceivepaymentof€200,000inthreemonths.OnJune1,thespotrateoftheeurowas1.12,andthe3?monthforwardratewas1.10.OnJune1,Graylonnegotiatedaforwardcontractwithabanktosell€200,000forwardinthreemonths.ThespotrateoftheeuroonSeptember1is1.15.Graylonwillreceive____fortheeuros.A224,000B220,000C200,000D230,000第7題Theone-yearforwardrateoftheBritishpoundisquotedat1.60,andthespotrateoftheBritishpoundisquotedat1.63.Theforward____is____percent.Adiscount;1.9Bdiscount;1.8Cpremium;1.9Dpremium;1.8第8題The90-dayforwardratefortheeurois1.07,whilethecurrentspotrateoftheeurois1.05.Whatistheannualizedforwardpremiumordiscountoftheeuro?A1.9percentdiscountB1.9percentpremiumC7.6percentpremiumD7.6percentdiscount第9題Thornton,Inc.needstoinvest5millionNepaleserupeesinitsNepalesesubsidiarytosupportlocaloperations.Thorntonwouldlikeitssubsidiarytorepaytherupeesinoneyear.Thorntonwouldliketoengageinaswaptransaction.Thus,Thorntonwould:Aconverttherupeestodollarsinthespotmarkettodayandconvertrupeestodollarsinoneyearattoday'sforwardrate.Bconvertthedollarstorupeesinthespotmarkettodayandconvertdollarstorupeesinoneyearattheprevailingspotrate.Cconvertthedollarstorupeesinthespotmarkettodayandconvertrupeestodollarsinoneyearattoday'sforwardrate.Dconvertthedollarstorupeesinthespotmarkettodayandconvertrupeestodollarsinoneyearattheprevailingspotrate.第10題IntheUnitedStates,thetypicalcurrencyfuturescontractisbasedonacurrencyvalueintermsof:AEurosBUSDollarsCBritishPoundsDCanadianDollarsQuiz6第1題Whichofthefollowingstatementcanbestdefinetheexchangerateregime?ADevelopingeconomiescommonlyuseflexibleregime,anddevelopedeconomiescommonlyadoptsfixedregime.BVolatilityinfloatingregimeishigherandmorefrequentthanthatinfixedregime.CExchangerateismainlydeterminedbymarketinsteadofgovernmentinfloatingregime.DTherearemoreeconomieschoosingfixedthanfloating.第2題Whichofthefollowingbelongstofloatingregime?

AManagedfloat

BCurrencyUnionCCrawlsDNoneoftheabove第3題Pleasechoosethecircumstancewherethereisthelowestvolatility.ACrawlBBandCManagedFloatDFreeFalling第4題Whichofthefollowingstatementaboutexchangeratecrisisiscorrect?AExchangeratecrisisisexactlyidenticaltoexchangeraterisk.BFreefallingisakindofexchangeratecrisisCFixedexchangerateregimecanpreventexchangeratecrisistooccurDNoneoftheabove第5題Whichofthefollowingisnotanimpactofexchangeratecrisis?ASovereignDefault

BBankingCollapsesCIncreasingUnemploymentDNoneoftheabove第6題IfFEDwantstostrengthendollaragainsteuro,itcan____,andsterilizesby____treasurysecurities.

A

selldollarforeuro,buyingBselldollarforeuro,sellingCselleurofordollar,buyingDselleurofordollar,selling第7題TheFEDannouncedthemonetarynormalizationin2015,butthetimeforthepolicytoberealizedhasnotbefixedyet.Whichofthefollowingfactordoesthemonetarynormalizationimpactthathasappreciatedthedollar?AInflationdifferentialBInterestratedifferentialCMarketExpectationsDAlloftheabove第8題Whichofthefollowingstatementiscorrectabouttheimpactofexchangerateintervention?AFEDexchangedollarforeurotodepreciatedollar,USeconomicgrowth.BFEDexchangedollarforeurotodepreciatedollar,USinflationrises.CFEDincreasesUSinterestratetoappreciatedollar,USeconomicgrowthslowsdown.DFEDincreasesUSinterestratetoappreciatedollar,USinflationrises.第9題ThecentralbankinChinalosesthemonetarypolicycontrol,whenfixedexchangerateisadoptedandperfectcapitalmobilityisallowed.第10題Toforcethevalueofthepoundtoappreciateagainstthedollar,theFederalReserveshould:AselldollarsforpoundsintheforeignexchangemarketandtheEuropeanCentralBank(ECB)shouldselldollarsforpoundsintheforeignexchangemarket.BsellpoundsfordollarsintheforeignexchangemarketandtheEuropeanCentralBank(ECB)shouldselldollarsforpoundsintheforeignexchangemarket.CsellpoundsfordollarsintheforeignexchangemarketandtheEuropeanCentralBank(ECB)shouldnotintervene.DselldollarsforpoundsintheforeignexchangemarketandtheEuropeanCentralBank(ECB)shouldsellpoundsfordollarsintheforeignexchangemarket.Quiz7第1題Whichofthefollowingstatementisincorrectaboutinterestrateparity?

ACIPholdswithrisklessarbitragewhileUIPworkswithrisklessarbitrage.BRealinterestrateparityholdswhenUIP&CIPholdssimultaneouslyCCIPdeterminesforwardratewhileUIPdeterminesspotrateDNoneoftheabove第2題WhichofthefollowingisnotanassumptionofCIP?ANomarketfrictionsBPerfectCapitalMobilityCRiskNeutralityDNoneoftheabove第3題Dueto____,marketforcesshouldrealigntherelationshipbetweentheinterestratedifferentialoftwocurrenciesandtheforwardpremium(ordiscount)ontheforwardexchangeratebetweenthetwocurrencies.AforwardrealignmentarbitrageBtriangulararbitrageCcoveredinterestarbitrageDlocationalarbitrage第4題Dueto____,marketforcesshouldrealignthespotrateofacurrencyamongbanks.AforwardrealignmentarbitrageBtriangulararbitrageCcoveredinterestarbitrageDlocationalarbitrage第5題Dueto____,marketforcesshouldrealignthecrossexchangeratebetweentwoforeigncurrenciesbasedonthespotexchangeratesofthetwocurrenciesagainsttheU.S.dollar.AforwardrealignmentarbitrageBtriangulararbitrageCcoveredinterestarbitrageDlocationalarbitrage第6題Ifinterestrateparityexists,then____isnotfeasibleAforwardrealignmentarbitrageBtriangulararbitrageCcoveredinterestarbitrageDlocationalarbitrage第7題Inwhichcasewilllocationalarbitragemostlikelybefeasible?AOnebank'saskpriceforacurrencyisgreaterthananotherbank'sbidpriceforthecurrency.BOnebank'sbidpriceforacurrencyisgreaterthananotherbank'saskpriceforthecurrency.COnebank'saskpriceforacurrencyislessthananotherbank'saskpriceforthecurrency.DOnebank'sbidpriceforacurrencyislessthananotherbank'sbidpriceforthecurrency.第8題AssumethattheinterestrateinthehomecountryofCurrencyXismuchhigherthantheU.S.interestrate.Accordingtointerestrateparity,theforwardrateofCurrencyX:AshouldexhibitadiscountBshouldexhibitapremiumCshouldbezero(i.e.,itshouldequalitsspotrate)DshouldexhibitapremiumANDshouldbezero(i.e.,itshouldequalitsspotrate)第9題IftheinterestrateishigherintheUnitedStatesthanintheUnitedKingdom,andiftheforwardrateoftheBritishpound(inU.S.dollars)isthesameasthepound'sspotrate,then:AU.S.investorscouldpossiblybenefitfromcoveredinterestarbitrage.BBritishinvestorscouldpossiblybenefitfromcoveredinterestarbitrage.CneitherU.S.norBritishinvestorscouldbenefitfromcoveredinterestarbitrage.DU.S.investorscouldpossiblybenefitfromcoveredinterestarbitrageANDBritishinvestorscouldpossiblybenefitfromcoveredinterestarbitrage.第10題AssumethatU.S.investorsarebenefitingfromcoveredinterestarbitrageduetohighinterestratesoneuros.Whichofthefollowingforcesshouldresultfromthiscoveredinterestarbitrageactivity?Adownwardpressureontheeuro'sspotrateBdownwardpressureontheeuro'sforwardrateCdownwardpressureontheU.S.interestrateDupwardpressureontheeuro'sinterestrateQuiz8第1題Whichofthefollowingstatementiscorrectaboutthelawofoneprice?ALOOPdoesn’tholdinnon-arbitrageconditions.BLOOPworksinmarketequilibriumandelsewhere.CLOOPdoesn’tworkforiPhone.DNoneoftheabove第2題WhichofthefollowingstatementiscorrectaboutqE/US?AThisistherealexchangerateofeuroagainstdollar,euroisundervaluedwhenq>1BThisistherealexchangerateofdollaragainsteuro,euroisovervaluedwhenq>1CAhigherqreferstorealappreciationofdollar,euroisovervaluedwhenq<1DAhigherqreferstorealappreciationofeuro,euroisundervaluedwhenq<1第3題Whichofthefollowingistrueabout“TheBigMacIndex”?AAcurrencyisundervaluedwhenBMI<1,therawindexincludesthelaborcostdifferenceBAcurrencyisundervaluedwhenBMI<0,therawindexexcludesthelaborcostdifferenceCAcurrencyisundervaluedwhenBMI<1,theadjustedindexincludesthelaborcostdifferenceDAcurrencyisundervaluedwhenBMI<0,theadjustedindexexcludesthelaborcostdifference第4題Assumeatwo-countryworld:CountryAandCountryB.Whichofthefollowingiscorrectaboutpurchasingpowerparity(PPP)asrelatedtothesetwocountries?AIfCountryA'sinflationrateexceedsCountryB'sinflationrate,CountryA'scurrencywillweaken.BIfCountryA'sinterestrateexceedsCountryB'sinflationrate,CountryA'scurrencywillweaken.CIfCountryA'sinterestrateexceedsCountryB'sinflationrate,CountryA'scurrencywillstrengthen.DIfCountryB'sinflationrateexceedsCountryA'sinflationrate,CountryA'scurrencywillweaken.第5題Givenahomecountryandaforeigncountry,purchasingpowerparity(PPP)suggeststhat:Athehomecurrencywilldepreciateifthecurrenthomeinflationrateexceedsthecurrentforeigninterestrate.Bthehomecurrencywillappreciateifthecurrenthomeinterestrateexceedsthecurrentforeigninterestrate.Cthehomecurrencywillappreciateifthecurrenthomeinflationrateexceedsthecurrentforeigninflationrate.Dthehomecurrencywilldepreciateifthecurrenthomeinflationrateexceedsthecurrentforeigninflationrate.第6題TheinternationalFishereffect(IFE)suggeststhattheforeigncurrencywillappreciatewhen:Athecurrenthomenominalinterestrateexceedsthecurrentforeignnominalinterestrate.Bthecurrenthomerealinterestrateexceedsthecurrentforeignrealinterestrate.Cthecurrenthomeinflationrateexceedsthecurrentforeignnominalinterestrate.Dthecurrentforeigninflationrateexceedsthecurrenthomeinflationrate.第7題Becausethereareavarietyoffactorsinadditiontoinflationthataffectexchangerates,thiswill:AreducetheprobabilitythatPPPwillhold.BincreasetheprobabilitythatPPPwillhold.CincreasetheprobabilitytheIFEwillhold.DB&C第8題Becausetherearesometimesnosubstitutesfortradedgoods,thiswill:AreducetheprobabilitythatPPPwillholdBincreasetheprobabilitythatPPPwillholdCincreasetheprobabilitytheIFEwillholdDincreasetheprobabilitythatPPPwillholdANDincreasetheprobabilitytheIFEwillhold第9題AccordingtotheIFE,ifBritishinterestratesexceedU.S.interestratesAtheBritishpound'svaluewillremainconstantBtheBritishpoundwilldepreciateagainstthedollarCtheBritishinflationratewilldecrease.DtheforwardrateoftheBritishpoundwillcontainapremium第10題Givenahomecountryandaforeigncountry,theinternationalFishereffect(IFE)suggeststhatAthenominalinterestratesofbothcountriesarethesame.Btheinflationratesofbothcountriesarethesame.CtheexchangeratesofbothcountrieswillmoveinasimilardirectionagainstothercurrenciesDNoneofthesearecorrectQuiz9第1題Whichofthefollowingdoesn’tbelongtothemotivesofexchangerateforecastforanMNC?

ADecidewhethertohedgecashflowsinforeigncurrency

BDecidewhethertoinvestinforeignprojectsCDecidethepointoftimeforearningsremittanceDNoneoftheabove第2題Whichofthefollowingmethodsisnotanexchangerateforecastmethod?

ATechnicalforecastingBFundamentalforecastingCMarket-basedforecastingDEconometricalforecasting第3題Whichofthefollowingisnotthemotiveofexchangerateforecasting?

AHedgingDecisionsBFinancingDecisionsCCapitalBudgetingDecisionsDNoneofAbove第4題Whichofthefollowingisnotthelimitationoffundamentalforecasting?AUnknownTimingImpact

BInconstantRegressionCoefficientCDifficulttoquantifyfactorsDFocusesontheNearFuture第5題Whichofthefollowingisnotthemethodofexchangerateforecasting?

ATechnicalForecastingBFundamentalForecastingCMarket-basedForecastingDEconometricForecasting第6題Technicalforecastingusuallyappliesforthelong-termexchangeratepredictionwhilemarket-basedforecastingisoftenusedforshort-termexchangerateforecasting.

第7題Fundamentalforecastingiscriticizedfortheunknowntimingoftheimpactandassumptionsofconstantimpactovertime.第8題Theforecasterrorofalessvolatilecurrencyislowerthanthatofamorevolatilecurrencyholdingothervariablesconstant.

第9題Ifyoudrawrealizedvalueontheverticalaxis,andpredictedvalueonthehorizontalaxis,thenthe45-degreelinereferstotheperfectforecastline,theregionabovethelineisoverestimationandtheregionbelowthelineisunderestimation.

第10題Whichofthefollowingforecastingtechniqueswouldbemostlikelytousetoday'sforwardexchangeratetoforecastthefutureexchangerate?AfundamentalforecastingBmarket-basedforecastingCtechnicalforecastingDintervalforecastingQuiz10第1題Whichofthefollowingdoesn’tbelongtoexchangeraterisk?ATransactionExposureBTranslationExposureCTransformationExposureDEconomicExposure第2題WhichoneisnottheexposureofexchangeraterisktoanMNC?

AFinancialExposure

BTranslationExposureCTransactionExposureDEconomicExposure第3題Whichofthefollowingisnotthefactorofmaximumloss?AExpectedChangeofTheExchangeRateBVolatilityoftheUnderlyingCurrency

CSignificanceLevelDCreditRanking第4題WithEqualamountsofnetinflowsintwocurrenciesthatarehighlypositivelycorrelated,theMNC’sexposureofexchangerateriskisrelativelyhigh.第5題AnetinflowinonecurrencyandanetoutflowofaboutthesameamountinanothercurrencythatarehighlypositivelycorrelatedwiththeformerresultsinlowexchangerateriskexposureforanMNC.

第6題Iffirm’sexportsdenominatedinforeigncurrency,thenanappreciationoflocalcurrencywilldecreasethetransaction.第7題Iffirm’sexportsdenominatedinlocalcurrency,thenanappreciationoflocalcurrencywilldecreasethetransaction.第8題Translationexposurereflects:Atheexposureofafirm'sinternationaltransactionstoexchangeratefluctuations.Btheexposureofafirm'slocalcurrencyvaluetotransactionsbetweenforeignexchangetraders.Ctheexposureofafirm'sfinancialstatementstoexchangeratefluctuations.Dtheexposureofafirm'scashflowstoexchangeratefluctuations.第9題Transactionexposurereflects:Atheexposureofafirm'sinternationaltransactionstoexchangeratefluctuations.Btheexposureofafirm'slocalcurrencyvaluetotransactionsbetweenforeignexchangetraders.Ctheexposureofafirm'sfinancialstatementstoexchangeratefluctuations.Dtheexposureofafirm'scashflowstoexchangeratefluctuations.第10題Economicexposurerefersto:Atheexposureofafirm'sinternationaltransactionstoexchangeratefluctuations.Btheexposureofafirm'slocalcurrencyvaluetotransactionsbetweenforeignexchangetraders.Ctheexposureofafirm'sfinancialstatementstoexchangeratefluctuations.Dtheexposureofafirm'scashflowstoexchangeratefluctuations.

Quiz11第1題WhichofthefollowingisthemotiveforFDI?

AAttractNewSourcesofDemandBRiskDiversificationCUseForeignFactorsofProductionD

AllofAbove第2題WhichofthefollowingisnotthemotiveforFDI?AEconomiesofScaleBReacttoTradeRestrictionsCReacttoExchangeRateMovementDNoneoftheAbove第3題Whichoneisnotagovernment-imposedbarrieronFDI?ACulturalBarrierBRedTapeBarrierCEnvironmentalBarrierDProtectiveBarrier第4題WhichofthefollowingpurchasesdoesNOTrepresentdirectforeigninvestment?AmachinerytobeusedinmanufacturingBatractoflandCbondsandotherfinancialassetsDamanufacturingplant第5題WhenanMNCanalyzesthefeasibilityofaproject,itshouldconsiderthe:Avariabilityoftheproject'scashflow.Bcorrelationoftheproject'scashflowrelativetotheprevailingcashflowsoftheMNC.Cvariabilityoftheproject'scashflowANDcorrelationoftheproject'scashflowrelativetotheprevailingcashflowsoftheMNC.DNoneofthesearecorrect第6題The____thevariabilityofaproject’scashflows,andthe____thepositivecorrelationbetweentheproject'scashflowandtheMNC'scashflow,thelowertheriskoftheproject.Ahigher;higherBhigher;lowerClower;lowerDlower;higher第7題Themostimportantcost-relatedmotivefordirectforeigninvestmentisdiversificationacrossproductmarkets.第8題AnMNC’scashflowsarelikelytobelessvolatileifitspercentageofforeignsalesis____andthenumberofforeigncountriesitsellsproductstois____.Ahigh;largeBhigh;smallClow;smallDhigh;large第9題Accordingtothetext,afirmmaybeabletoachievea"moreefficient"projectportfolioifitAfocusessolelyononeproductBfocusessolelyononelocationtoma