With respect to political risk that can be faced by a company seeking to invest abroad, which of the following is most severe?
A: Confiscation
B: Expropriation
C: Domestication
D: Local-content laws
A: Confiscation
B: Expropriation
C: Domestication
D: Local-content laws
举一反三
- With respect to political risk that can be faced by a company seeking to invest abroad, which of the following is most severe?
- The risk of cancellation，war risks，( )are the main risks that political risks may include． A: the fluctuation of the price B: financial crisis C: the fluctuation of the exchange rate D: risk of expropriation or confiscation of the importer's company
- With respect to the security market line (SML), an increase in the business risk of the stock-is-suing company would most likely result in which of the following changes A: An upward shift in the SML B: A downward shift in the SML C: Movement upward along the SML
- Which of the following statements regarding a country risk premium is TRUE A: Country risk arises from expected economic and political events. B: Firms in different countries assume significantly different financial risk. C: Exchange rate risk is relatively small and can be ignored.
- Which of the following risks can be diversified through portfolio investment? _____. A: Interest rate risk B: Inflation risk C: Market risk D: Default risk