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Chapter 3 Test Name: Robert Brown Attempt: 1 / 1 Out of: 100 Started: July 7, 2007 12:57am Finished: July 7, 2007 2:31am Time spent: 1 hr, 33 min., 46 sec. Student finished 26 min. 14 sec. ahead of the 120 min. time limit. Question 1 (2 points) A letter of credit is issued "in favor of the importer." Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. T 100.0% b. F Score: 2 / 2 Question 2 (2 points) A limit on the amount of a particular good that may be brought into a country during a given period of time is called a(n) Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. import deficit. 100.0% b. import quota. 0.0% c. import duty. 0.0% d. trade embargo. 0.0% e. import tariff. Score: 2 / 2 Question 3 (2 points) Absolute advantage is the ability to produce a specific product more efficiently than any other nation. Student response: Percent Value Correct Response Student Response Answer Choices 100.0% a. T 0.0% b. F Score: 2 / 2 Question 4 (2 points) Bob complained that it took some time to locate a distributor of an imported light bulb that he had to replace. He was further annoyed that he had to pay an artificially high price. When asked for his opinion, Bob would probably argue Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. for tourism. 0.0% b. for exports. 0.0% c. against international free trade associations. 100.0% d. against trade restrictions. 0.0% e. for the trade deficit. Score: 2 / 2 Question 5 (2 points) When a business has plants located in several foreign countries, it is called a Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. joint venture. 0.0% b. trading company. 100.0% c. multinational enterprise. 0.0% d. countertrade. 0.0% e. licensing firm. Score: 0 / 2 Question 6 (2 points) What trend is occurring regarding the use of countertrade? Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. The volume of countertrade is shrinking quickly as countries regain their trust in foreign currencies. 0.0% b. The impact of countertrade is slowly dwindling. 0.0% c. Countertrade has never been very important in international trade. 100.0% d. The volume of countertrade is growing. 0.0% e. The overall volume of countertrade has remained steady. Score: 2 / 2 Question 7 (2 points) Most trading companies are involved in manufacturing or owning assets related to manufacturing. Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. T 100.0% b. F Score: 2 / 2 Question 8... View Full Document

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