Practice Quiz

FSOT Pro

Category - Economics

Start a Study Session Sign up for Question of the Day
When a company invests in offices, factories or any other type of facility outside of the nation in which it is headquartered, the expenditure is called its:
  1. Foreign direct investments (FDI)
  2. International investment costs (IIC)
  3. Foreign investment deposits (FID)
  4. Direct foreign deposits (DFD)
Explanation
Answer: A - Business costs related to facilities out of an organization's home country are called foreign direct investments (FDI). The investments relate to a critical piece of the organization's operational structure. For example, an American company that manufacturers goods in China has made a foreign direct investment in their Chinese factory.
Was this helpful? Upvote!
Login to contribute your own answer or details
Start a Study Session Sign up for Question of the Day

Top questions

Related questions

Most popular on PracticeQuiz