Test bank International Finance MCQ wordChap 4.docx
《Test bank International Finance MCQ wordChap 4.docx》由会员分享，可在线阅读，更多相关《Test bank International Finance MCQ wordChap 4.docx（50页珍藏版）》请在冰豆网上搜索。
TestbankInternationalFinanceMCQwordChap4
FundamentalsofMultinationalFinance,3e（Moffett）
Chapter4
TheBalanceofPayments
4.1
MultipleChoiceandTrue/FalseQuestions
1）
Thebalanceofpaymentsasappliedtoacourseininternationalfinancemaybedefinedas
A）
theamountstillowedbyanexportingfirmaftermakinganinitialdownpayment.
B）
theamountstillowedbygovernmentstotheInternationalMonetaryFund.
C）
themeasurementofallinternationaleconomictransactionsbetweentheresidentsofacountryandforeignresidents.
D）
theamountofacountry'smerchandisetradedeficitorsurplus.
Answer:
C
Topic:
BOPIntroduction
Skill:
Conceptual
2）
Balanceofpayment（BOP）datamaybeimportantforanyofthefollowingreasons:
A）
BOPdatahelpstoforecastacountry'smarketpotential,especiallyintheshortrun.
B）
TheBOPisanimportantindicatorofacountry'sforeignexchangerate.
C）
Changesinacountry'sBOPmaysignalachangeincontrolsoverpaymentofdividendsandinterest.
D）
Alloftheabove.
Answer:
D
Topic:
BOPIntroduction
Skill:
Conceptual
3）
AcountryexperiencingaseriousBOP________ismorelikelyto________exportsthanotherwise.
A）
surplus;contract
B）
deficit;contract
C）
deficit;expand
D）
noneoftheabove
Answer:
A
Topic:
BOPUnderstanding
Skill:
Analytical
4）
WhichofthefollowingwouldNOTbeconsideredatypicalBOPtransaction?
A）
ToyotaU.S.A.isaU.S.distributorofautomobilesmanufacturedinJapanbyitsparentcompany.
B）
TheU.S.subsidiaryofEuropeanfinancialgiant,CreditSuisse,paysdividendstoitsparentinZurich.
C）
AU.S.touristpurchasesgiftsatamuseuminLondon.
D）
AllareexampleofBOPtransactions.
Answer:
D
Topic:
BOPUnderstanding
Skill:
Conceptual
5）
TheauthorsidentifyatipforunderstandingBOPaccounting.Theyrecommendthatyou"followthecashflow."
Answer:
TRUE
Topic:
BOPIntroduction
Skill:
Recognition
6）
TheBOPmustbeinbalancebutthecurrentaccountneednotbe.
Answer:
TRUE
Topic:
CurrentAccount
Skill:
Recognition
7）
WhichofthefollowingisNOTapartoftheCurrentAccountofBOP?
A）
netexport/importofgoods
B）
BalanceofTrade
C）
netportfolioinvestment
D）
netexport/importofservices
Answer:
C
Topic:
CurrentAccount
Skill:
Recognition
8）
WhichofthefollowingisNOTpartoftheFinancialAccountoftheBOP?
A）
netforeigndirectinvestment.
B）
netimport/exportofservices
C）
netportfolioinvestment
D）
otherFinancialitems
Answer:
B
Topic:
FinancialAccount
Skill:
Recognition
9）
ExpendituresbyU.S.touristsinforeigncountriesforforeigngoodsorservicesarefactoredintoBOPcalculations.
Answer:
TRUE
Topic:
BOPUnderstanding
Skill:
Recognition
10）
WhichofthefollowingisNOTanitemtobeconsideredinBOPcalculations?
A）
AforeignresidentpurchasesaU.S.TreasuryBill.
B）
AU.S.-basedfirmmanagesthedevelopmentofanoilfieldinKazakhstan.
C）
AconsumerbuysaVCRmadeinKoreafromaWal-Martstore.
D）
AU.S.citizenlivinginMinnesotatravelstoWinnipeg,CanadaandbuysacaseofLaBatt'sCanadianbeer.
Answer:
C
Topic:
BOPUnderstanding
Skill:
Conceptual
11）
Thebalanceofpaymentsismostlikea（an）________.
A）
cashflowstatement
B）
balancesheet
C）
incomestatement
D）
proxystatement
Answer:
A
Topic:
Balanceofpayments
Skill:
Recognition
12）
Thebalanceofpayments
A）
determinestheeligibilityofcountriesforIMFaid.
B）
addsupthevalueofallassetsandliabilitiesofacountryonaspecificdate.
C）
recordsallinternationaltransactionsforacountryoveraperiodoftime.
D）
alloftheabove.
Answer:
C
Topic:
Balanceofpayments
Skill:
Recognition
13）
Accordingtotheauthors,thefollowingtypesoftransactionsdominatethebalanceofpayments:
A）
theexchangeofgunsforbutter.
B）
theexchangeofstocksandbonds.
C）
theexchangeofgoodsandservices.
D）
theexchangeofrealandfinancialassets.
Answer:
D
Topic:
Balanceofpayments
Skill:
Conceptual
14）
WhichofthefollowingisNOTanexampleofanexchangeoffinancialassets?
A）
theexchangeoftravelservices
B）
theexchangeofstocks
C）
theexchangeofbonds
D）
loans
Answer:
A
Topic:
CurrentAccount
Skill:
Conceptual
15）
Becausecurrentandfinancial/capitalaccountbalancesusedouble-entrybookkeepingitisunusualtofindseriousdiscrepanciesinthedebitsandcredits.
Answer:
FALSE
Topic:
Balanceofpayments
Skill:
Recognition
16）
WhichofthefollowingisNOTpartofthebalanceofpaymentsaccount?
A）
thecurrentaccount
B）
thefinancial/capitalaccount
C）
theofficialreservesaccount
D）
AlloftheaboveareBOPaccounts.
Answer:
D
Topic:
Balanceofpayments
Skill:
Recognition
17）
The________includesallinternationaleconomictransactionswithincomeorpaymentflowsoccurringwithintheyear.
A）
capitalaccount
B）
currentaccount
C）
financialaccount
D）
IMFaccount
Answer:
B
Topic:
CurrentAccount
Skill:
Recognition
18）
Ifyourcompanyweretoimportandexporttextiles,thetransactionswouldberecordedinthecurrentaccountsubcategoryof________.
A）
servicestrade
B）
incometrade
C）
goodstrade
D）
currenttransfers
Answer:
C
Topic:
CurrentAccount
Skill:
Conceptual
19）
ThetravelservicesprovidedtointernationaltravelersbyUnitedAirlineswouldberecordedinthecurrentaccountsubcategoryof________.
A）
servicestrade
B）
incometrade
C）
goodstrade
D）
currenttransfers
Answer:
A
Topic:
CurrentAccount
Skill:
Conceptual
20）
AnacondaCopperInc.createdasubsidiaryinChilelastyeartominecopperore.Theproportionofnetincomepaidbacktotheparentcompanyasadividendwouldberecordedinthecurrentaccountsubcategoryof________.
A）
servicestrade
B）
incometrade
C）
goodstrade
D）
currenttransfers
Answer:
B
Topic:
CurrentAccount
Skill:
Conceptual
21）
Thesubcategorythattypicallydominatesthecurrentaccountis________.
A）
goods（merchandise）trade
B）
servicestrade
C）
incometrade
D）
transferaccounts
Answer:
A
Topic:
CurrentAccount
Skill:
Recognition
22）
Overthelastseveralyears,theUnitedStateshasruna________inthegoodstradebalanceanda________intheservicestradebalance.
A）
surplus;deficit
B）
surplus;surplus
C）
deficit;deficit
D）
deficit;surplus
Answer:
D
Topic:
CurrentAccount
Skill:
Conceptual
23）
Ingeneral,theUnitedStatesgoodstradebalancehasgrownincreasinglypositiveoverthelast3years.
Answer:
FALSE
Topic:
CurrentAccount
Skill:
Recognition
24）
In2001theUnitedStatespostedacurrentaccountdeficitof-$393billion.Thebulkofthenegativevaluecamefrom
A）
anettransferdeficit.
B）
anincomebalancedeficit.
C）
agoodstradedeficit.
D）
anincometradedeficit.
Answer:
C
Topic:
CurrentAccount
Skill:
Recognition
25）
Ingeneral,asacountry'sincomeincreases,sodoesthedemandforimports.
Answer:
TRUE
Topic:
EconomicTheory
Skill:
Conceptual
26）
Ingeneral,acountry'sexportsdecreaseasforeignincomedecreases.
Answer:
TRUE
Topic:
EconomicTheory
Skill:
Conceptual
27）
OverthelasttwodecadesthesurplusonU.S.servicestradehastypicallybeen________thedeficitonU.S.goodstrade.
A）
greaterthan
B）
equalto
C）
lessthan
D）
Therelationshipisconstantlyshiftingfromgreaterthantolessthan.
Answer:
C
Topic:
BalanceofTrade
Skill:
Recognition
28）
The________ofthebalanceofpaymentsmeasuresallinternationaleconomictransactionsoffinancialassets.
A）
currentaccount
B）
merchandisetradeaccount
C）
servicesaccount
D）
capital/financialaccount
Answer:
D
Topic:
Capital/FinancialAccount
Skill:
Recognition
29）
ThefinancialaccountconsistsCOMPLETELYofwhichthreecomponents?
A）
stockinvestment,bondinvestment,andmutualfundinvestment
B）
directinvestment,stockinvestment,andbondinvestment
C）
directinvestment,portfolioinvestment,andotherassetinvestment
D）
mutualfundinvestment,portfolioinvestment,andstockinvestment
Answer:
C
Topic:
Capital/FinancialAccount
Skill:
Recognition
30）
Whencategorizinginvestmentsforthefinancialaccountcomponentofthebalanceofpaymentsthe________isaninvestmentwheretheinvestorhasnocontrolwhereasthe________isaninvestmentwheretheinvestorhascontrolovertheasset.
A）
directinvestment;portfolioinvestment
B）
directinvestment;indirectinvestment
C）
portfolioinvestment;indirectinvestment
D）
portfolioinvestment;directinvestment
Answer:
D
Topic:
Capital/FinancialAccount
Skill:
Recognition
31）
WhichofthefollowingwouldNOTbeconsideredadirectinvestmenteitherintoorfromtheUnitedStates?
A）
thepurchaseofU.S.Treasury（debt）securities
B）
FordMotorCompanybuildinganassemblyplantinMexico
C）
HondaofJapanbuildingamanufacturingplantinAla
升级会员 