C211 WGU OA FINAL TEST 2026
QUESTIONS WITH CORRECT
ANSWERS GRADED A+
◍ currency hedging.
Answer: focuses on forward contracts and swaps to contain currency risks
◍ Which political view of foreign direct investment (FDI) is most widely used
by governments in the current international business environment?.
Answer: Protectionism
◍ Which factors credit the degree of rivalry between a pair of competitors? 2
choices.
Answer: Market CommonalityCost Structure
◍ forward transactions.
Answer: allow participants to buy and sell currencies now for future delivery
◍ Which factors credit how local firms in emerging economics will respond to
multinational competitors?.
Answer: Competitive assets and industry pressures to globalize
◍ During which stage of the product life cycle do sales and profits gradually
increase before seeing more dramatic increases?.
Answer: Growth
◍ Which factor determines the foreign exchange rate of any currency?.
Answer: Supply and demand for the currency
◍ temporarily shut down.
Answer: when average variable cost (AVC) is above the price
◍ Which risk must corporation minimize if it is to effectively manage
short-term currency fluctuations?.
, Answer: Transaction Risk
◍ marginal cost.
Answer: the additional cost of producing one more unit. it is the change in
total cost divided by the change in quantity
◍ Which policy does a country use to determine the exchange rate of their
currency in relationship to another country's currency if they do not rely on
market forces?.
Answer: Fixed Rate Policy
◍ deadweight loss.
Answer: the fall in total surplus that results from a tax
◍ Which term refers to trading currencies and currency derivatives in order to
earn profits and help make prices efficient?.
Answer: Brokering
◍ components of GDP.
Answer: consumption, investment, government purchases, net exports
◍ gross domestic production.
Answer: measures the total amount of expenditures, total income of
everyone in the economy the market value of all final goods and services
produced within the border of a given country during a specified period of
time
◍ manager: firms rationally pursue their interests.
Answer: when minimum wage increases in a country, a major multinational
moves most of its production because the cost of labor is substantially lower
◍ trade surplus.
Answer: economic condition in which a nation exports more than it imports
◍ Which type of advantage is gained by a company based on where it
operates?.
Answer: Location-Specific
◍ Who gains from erecting significant entry barriers for other entrants?.
, Answer: First Movers
◍ primary costs of FDI to host countries.
Answer: loss of sovereigntyadverse effects on competitioncapital outflow
◍ Which strategy for entering into a foreign market has the lowest degree of
risk?.
Answer: Licensing
◍ What is a non-equity mode involving some type of contractual agreement?.
Answer: Licensing
◍ primary benefits of FI to host countries.
Answer: capital outflowtechnology advancementjob creationknow-how
◍ democracy.
Answer: is a political system in which citizens elect representatives to
govern the country on their behalf
◍ After the Lehman Brothers collapse, the federal Reserve stood ready to lend
financial institutions funds. When the Federal reserve did this, it was acting
in its role as a lender of last resort. Which type of group has this role?.
Answer: Non Governmental Organization
◍ totaliariansim.
Answer: one person or party exercises absolute political control over the
population
◍ What is the comprehensive free-trade settlement among Canada, US, and
Mexico, that address issues of protecting workers rights, the environment
and reducing tariffs and non-tariff trade barriers?.
Answer: NAFTA
◍ What is one of the core propositions underpinning an institution-based view
of global business?.
Answer: Managers and corporations make rational decisions within their
formal and informal framework
◍ Which type of system allows businesses to be privately owned with a strong
QUESTIONS WITH CORRECT
ANSWERS GRADED A+
◍ currency hedging.
Answer: focuses on forward contracts and swaps to contain currency risks
◍ Which political view of foreign direct investment (FDI) is most widely used
by governments in the current international business environment?.
Answer: Protectionism
◍ Which factors credit the degree of rivalry between a pair of competitors? 2
choices.
Answer: Market CommonalityCost Structure
◍ forward transactions.
Answer: allow participants to buy and sell currencies now for future delivery
◍ Which factors credit how local firms in emerging economics will respond to
multinational competitors?.
Answer: Competitive assets and industry pressures to globalize
◍ During which stage of the product life cycle do sales and profits gradually
increase before seeing more dramatic increases?.
Answer: Growth
◍ Which factor determines the foreign exchange rate of any currency?.
Answer: Supply and demand for the currency
◍ temporarily shut down.
Answer: when average variable cost (AVC) is above the price
◍ Which risk must corporation minimize if it is to effectively manage
short-term currency fluctuations?.
, Answer: Transaction Risk
◍ marginal cost.
Answer: the additional cost of producing one more unit. it is the change in
total cost divided by the change in quantity
◍ Which policy does a country use to determine the exchange rate of their
currency in relationship to another country's currency if they do not rely on
market forces?.
Answer: Fixed Rate Policy
◍ deadweight loss.
Answer: the fall in total surplus that results from a tax
◍ Which term refers to trading currencies and currency derivatives in order to
earn profits and help make prices efficient?.
Answer: Brokering
◍ components of GDP.
Answer: consumption, investment, government purchases, net exports
◍ gross domestic production.
Answer: measures the total amount of expenditures, total income of
everyone in the economy the market value of all final goods and services
produced within the border of a given country during a specified period of
time
◍ manager: firms rationally pursue their interests.
Answer: when minimum wage increases in a country, a major multinational
moves most of its production because the cost of labor is substantially lower
◍ trade surplus.
Answer: economic condition in which a nation exports more than it imports
◍ Which type of advantage is gained by a company based on where it
operates?.
Answer: Location-Specific
◍ Who gains from erecting significant entry barriers for other entrants?.
, Answer: First Movers
◍ primary costs of FDI to host countries.
Answer: loss of sovereigntyadverse effects on competitioncapital outflow
◍ Which strategy for entering into a foreign market has the lowest degree of
risk?.
Answer: Licensing
◍ What is a non-equity mode involving some type of contractual agreement?.
Answer: Licensing
◍ primary benefits of FI to host countries.
Answer: capital outflowtechnology advancementjob creationknow-how
◍ democracy.
Answer: is a political system in which citizens elect representatives to
govern the country on their behalf
◍ After the Lehman Brothers collapse, the federal Reserve stood ready to lend
financial institutions funds. When the Federal reserve did this, it was acting
in its role as a lender of last resort. Which type of group has this role?.
Answer: Non Governmental Organization
◍ totaliariansim.
Answer: one person or party exercises absolute political control over the
population
◍ What is the comprehensive free-trade settlement among Canada, US, and
Mexico, that address issues of protecting workers rights, the environment
and reducing tariffs and non-tariff trade barriers?.
Answer: NAFTA
◍ What is one of the core propositions underpinning an institution-based view
of global business?.
Answer: Managers and corporations make rational decisions within their
formal and informal framework
◍ Which type of system allows businesses to be privately owned with a strong
