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Which of the Following Statements Is True About Government Restrictions

Question 52

Multiple Choice

Which of the following statements is true about government restrictions that block earnings from a foreign project?


A) The problem of blocked earnings is now much more serious than before.
B) Greater acceptance of free market economics has increased the number of countries in which governments are likely to block earnings.
C) Firms have few options for circumventing host-government attempts to block the free flow of funds from an affiliate.
D) Stockholders do not perceive blocked earnings as contributing to the value of the firm.

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