Questions from Multinational Business Finance


Q: What are the primary sub-components of the financial account?

What are the primary sub-components of the financial account? Analytically, what would cause net deficits or surpluses in these individual components?

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Q: Classify the following as a transaction reported in a sub-component

Classify the following as a transaction reported in a sub-component of the current account or the capital and financial accounts of the two countries involved: a. A U.S. food chain imports wine from C...

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Q: Why is China's twin surpluses – a surplus in both the current

Why is China's twin surpluses – a surplus in both the current and financial accounts – considered unusual?

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Q: The U.S. dollar has maintained or increased its value

The U.S. dollar has maintained or increased its value over the past 20 years despite running a gradually increasing current account deficit. Why has this phenomenon occurred?

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Q: Brazil has experienced periodic depreciation of its currency over the past 20

Brazil has experienced periodic depreciation of its currency over the past 20 years despite occasionally running a current account surplus. Why has this phenomenon occurred?

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Q: What institution provides the primary source of similar statistics for balance of

What institution provides the primary source of similar statistics for balance of payments and economic performance worldwide?

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Q: Business managers and investors need BOP data to anticipate changes in host

Business managers and investors need BOP data to anticipate changes in host country economic policies that might be driven by BOP events. From the perspective of business managers and investors list t...

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Q: What does it mean to describe the balance of payments as a

What does it mean to describe the balance of payments as a flow statement?

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Q: What are the two main types of economic activity measured by a

What are the two main types of economic activity measured by a country’s BOP?

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Q: Should the anticipated internal rate of return (IRR) for a

Should the anticipated internal rate of return (IRR) for a proposed foreign project be compared to a) alternative home country proposals, b) returns earned by local companies in the same industry an...

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