1) translation exposure,
a.is not entity specific, rather it is currency specific
b.is not currency specific, rather it is entity specific
c.involves restatement from italian to french
d.none of the above
2) american depository receipt (adrs) represent foreign stocks
a.denominated in u.s. dollars that trade on european stock exchanges
b.denominated in u.s. dollars that trade on a u.s. stock exchange
c.denominated in a foreign currency that trade on a u.s. stock exchange
d.non-registered (bearer) securities
3) the united states is the largest initiator, of fdi. the largest recipient of fdi is
a.also the united states
b.france
c.germany
d.china
e.none of the above
4) corporate scandals at firms such as enron, worldcom and the italian firm parmalat
a.show that managers might be tempted to pursue their own private interests at the
expense of shareholders
b.show that italian shareholders are better at monitoring managerial behavior than u.s.
shareholders
c.show that white-collar criminals hardly ever get punished
d.show that socialism is a better way to go than capitalism