Question

A U.S. firm opens a factory that produces camping equipment in Albania, by itself (C2)

1.     A U.S. firm opens a factory that produces camping equipment in Albania, by itself (C2)

a.      this increases U.S. net foreign investment and decreases Albanian net foreign investment.

b.     this decreases U.S. net foreign investment and increases Albanian net foreign investment.

c.      increases only U.S. net foreign investment.

d.     increases only Albanian net foreign investment.

multipile choice


0 0
Add a comment Improve this question Transcribed image text
Request Professional Answer

Request Answer!

We need at least 9 more requests to produce the answer.

1 / 10 have requested this problem solution

The more requests, the faster the answer.

Request! (Login Required)


All students who have requested the answer will be notified once they are available.
Know the answer?
Add Answer to:
A U.S. firm opens a factory that produces camping equipment in Albania, by itself (C2)
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Similar Homework Help Questions
  • A Swiss firm opens a watch factory in the United States.

    A Swiss firm opens a watch factory in the United States.a.      This is Swiss foreign direct investment and by itself increases Swiss net foreign investment.b.     This is Swiss foreign direct investment and by itself decreases Swiss net foreign investment.c.      This is Swiss foreign portfolio investment and by itself increases Swiss net foreign investment.d.     This is Swiss foreign portfolio investment and by itself decreases Swiss net foreign investment.Answer is a/b/c/d?

  • Which of the following is an example of foreign portfolio investment? A. A European firm opens...

    Which of the following is an example of foreign portfolio investment? A. A European firm opens an interior design firm in San Francisco, CA. B. In the 1800s, Europeans purchased stock in American companies that used the funds to build railroads and factories. C. Ford Motor Company builds a car factory in Mexico. D. A European firm opens a new toy factory in China. The United Kingdom is an advanced economy, and over the past century its rate of economic...

  • Peninsula Technologies Co. is a U.S. firm that sells electronic equipment. One of its foreign subsidiaries...

    Peninsula Technologies Co. is a U.S. firm that sells electronic equipment. One of its foreign subsidiaries had $3.4 m of taxable income in the fiscal year. Calculate what the foreign and U.S. taxes would be on this income in the two cases presented below: Baseline Values : Case 1 /Case 2 a. Foreign corporate income tax rate 28% / 40% b. U.S. corporate income tax rate 35% / 35% c. Foreign dividend withholding tax rate 0% / 10% d. U.S....

  • of monopolistic competition, trade costs between countries will cause quantities sold, e first, a U.S. firm...

    of monopolistic competition, trade costs between countries will cause quantities sold, e first, a U.S. firm purchases 18% of a firm builds a new production facility in a foreign red to as and the second as In the model of monopolis prices. domestic and foreign markets to have and profit levels. identical; identical; different. B) different; different; identical D) different: different; different Identical; different: identical E) identical; different; different. - Consider the following two cases. In the first, a U.S....

  • Peninsula Technologies Co. is a U.S. firm that sells electronic equipment. One of its foreign subsidiaries had $3.4 m of taxable income in the fiscal year. Calculate what the foreign and U.S. taxes wo...

    Peninsula Technologies Co. is a U.S. firm that sells electronic equipment. One of its foreign subsidiaries had $3.4 m of taxable income in the fiscal year. Calculate what the foreign and U.S. taxes would be on this income in the two cases presented below: Baseline Values : Case 1 /Case 2 a. Foreign corporate income tax rate 28% / 40% b. U.S. corporate income tax rate 35% / 35% c. Foreign dividend withholding tax rate 0% / 10% d. U.S....

  • A U.S. firm buys apples from New Zealand with New Zealand dollars it got in exchange...

    A U.S. firm buys apples from New Zealand with New Zealand dollars it got in exchange for U.S. dollars. New Zealand residents then use these dollars to purchase oranges from the U.S. Which of the following increases? a. New Zealand’s net capital outflow and New Zealand’s net exports b. only New Zealand’s net exports c. only New Zealand’s net capital outflow d. neither New Zealand’s net exports nor New Zealand’s capital outflow

  • Suppose that the U.S. firm Halliburton buys construction equipment from the Japanese firm Komatsu at a...

    Suppose that the U.S. firm Halliburton buys construction equipment from the Japanese firm Komatsu at a price of ¥270 million. The equipment is to be delivered to the United States and paid for in one year. The current exchange rate is ¥102 = $1. The current interest rate on one-year U.S. Treasury bills is 8%, and on one-year Japanese government bonds the interest rate 6% a. If Halliburton exchanges dollars for yen today and invests the yen in Japan for...

  • 33) A Canadian subsidiary of a U.S. parent firm is instructed to bill an export to...

    33) A Canadian subsidiary of a U.S. parent firm is instructed to bill an export to the parent in U.S. dollars. The Canadian subsidiary records the accounts receivable in Canadian dollars and notes a profit on the sale of goods. Later, when the U.S. parent pays the subsidiary the contracted U.S. dollar amount, the Canadian dollar has appreciated 10% against the U.S. dollar. In this example, the Canadian subsidiary will record a: A) 10% foreign exchange loss on the U.S....

  • Question 10 Initially, there is a negative net capital outflow in a small open economy with...

    Question 10 Initially, there is a negative net capital outflow in a small open economy with a perfect capital mobility. Suppose an investment tax credit is introduced to give a tax advantage to any firm building a new factory or buying a new piece of equipment. Which of the following statement is correct in the loanable funds market? A. Savings increase and investment increases. B. Savings decrease and investment increases. C. Savings increase and investment remains unchanged. D. Savings remain...

  • Decko Co. is a U.S. firm with a Chinese subsidiary that produces smartphones in China and...

    Decko Co. is a U.S. firm with a Chinese subsidiary that produces smartphones in China and sells them in Japan. This subsidiary pays its wages and its rent in Chinese yuan, which is stable relative to the dollar. The smartphones sold to Japan are denominated in Japanese yen. Assume that Decko Co. expects that the Chinese yuan will continue to stay stable against the dollar. The subsidiary’s main goal is to generate profits for itself and reinvest the profits. It...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT