Deck 7: International Business and Economic Transactions

Question 1

Economic globalization is characterized by -

A)cross-cultural flows of ideas
B)rise of regionalism
C)international migration
D)international trade and investment flows

Answer 1

international trade and investment flows

Question 2

Ethnocentric orientation is a predisposition towards -

A)the global economy
B)geographically proximate regions
C)the home country
D)regionalism

Answer 2

the home country

Question 3

Business entities engaged in international business activity are commonly known as -

A)State-trading corporations
B)EOUs
C)TNCs
D)NGOs

Answer 3

TNCs

Question 4

Who founded Facebook in 2004?

A)Mark Zuckerberg
B)Sean Fanning
C)Jack Dorsy
D)Steve Jobs

Question 5

International orientation refers to -

A)a gradual process of internationalization
B)an attitude or strategic predisposition of a TNC towards internationalization
C)a firm's modes of entry into international business
D)the stage theory of internationalization

Question 6

____ is a systematic record of all the economic transaction between one country and rest of the would:

A)Balance of Trade
B)Balance of Transaction
C)Budget
D)Balance of payments

Question 7

As per IMF balance of payment manual, import export of goods should be presented on:

A)FOB basis
B)FOR basis
C)CIF basis
D)All of these

Question 8

OECD stands for:

A)Organization for export co-operation & development
B)Organization for economic commission & development
C)Organization for export commission & development
D)Organization for economic co-operation & development

Question 9

India has witnessed a surplus for the third successive year in which account of the balance of payment?

A)Trade account of BOP
B)Current account of BOP
C)Both (a) and (b)
D)None of the above of these

Question 10

In India which authority takes the purview of import & export:

A)EXIM
B)RBI
C)Ministry of Finance
D)Ministry of commerce

Question 11

Devaluation means:

A)To reduce the value of home currency in other currency
B)To appreciate the value of home currency
C)To increase the value of home currency in other currency.
D)To constant the value of home currency.

Question 12

_______ is a systematic record of all transactions of a country in a year.

A)Balance of payment
B)Balance of Trade
C)Current Account of Balance of Payment
D)None of the above.

Question 13

The current account of Balance of Payment includes trade balance and _______.

A)Settlement account
B)Capital account
C)Invisibles
D)Errors and omissions.

Question 14

Balance of payment deficit can be removed through:

A)Devaluation of currency
B)Vigorous export promotion
C)Import substitution
D)All of the above.

Question 15

The difference between the value of a nations visible exports and visible import is.

A)Balance of trade.
B)Balance of payments.
C)Balance of current Account.
D)Balance of Capital Account.

Question 16

Which of the following is NOT a restriction to international trade?

A)Quotas.
B)GATT.
C)Subsidies.
D)Exchange controls.

Question 17

The balance of payments of a country records flows of money from:

A)imports and exports and investment flows.
B)imports and exports and investments flow and speculative flows.
C)imports and exports.
D)imports and exports and domestic demand.