INB TEST 1 EXAM QUESTIONS WITH
VERIFIED ANSWERS. A+ GRADE
2025/2026.
B - ANS Which of the following would NOT be considered an example of foreign direct
investment (FDI)?
A) cross-border purchase of a textile plant
B) cross-border purchase of stocks
C) purchase of capital assets of a foreign company
D) purchase of foreign land for business operations
C - ANS Which of the following is NOT an example of a cross-cultural risk factor?
A) negotiation patterns
B) decision-making styles
C) costs of production
D) ethical practices
C - ANS Fluctuating exchange rates are an example of which of the following?
A) country risk
B) political risk
C) currency risk
D) cross-cultural risk
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, C - ANS Olive oil prepared in a small Italian oil press factory and sold by large supermarkets in
the United States is an example of a ________.
A) net national product
B) U.S. export
C) U.S. import
D) gross domestic product
A - ANS In polychronic cultures, ________.
A) members are easily distracted and are inclined to do many tasks at once
B) people view time as linear and punctuality as a virtue
C) managers make commitments, set deadlines, and adhere to a strict schedule of meetings
and activities
D) managers and investors are impatient and want quick returns
A - ANS Managers with a geocentric view of the world ________.
A) are generally better at understanding and accommodating similarities and differences
among cultures
B) ritually avoid analyzing awkward situations in cross-cultural encounters
C) have a strong preference for ambiguity
D) tend to view other cultures through the lens of his/her own culture
C - ANS Black and Decker produces tools at a plant in North Carolina and ships the tools to
retailers in England. This is an example of which type of international business activity?
A) merchandising
B) importing
C) exporting
D) trading
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
VERIFIED ANSWERS. A+ GRADE
2025/2026.
B - ANS Which of the following would NOT be considered an example of foreign direct
investment (FDI)?
A) cross-border purchase of a textile plant
B) cross-border purchase of stocks
C) purchase of capital assets of a foreign company
D) purchase of foreign land for business operations
C - ANS Which of the following is NOT an example of a cross-cultural risk factor?
A) negotiation patterns
B) decision-making styles
C) costs of production
D) ethical practices
C - ANS Fluctuating exchange rates are an example of which of the following?
A) country risk
B) political risk
C) currency risk
D) cross-cultural risk
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, C - ANS Olive oil prepared in a small Italian oil press factory and sold by large supermarkets in
the United States is an example of a ________.
A) net national product
B) U.S. export
C) U.S. import
D) gross domestic product
A - ANS In polychronic cultures, ________.
A) members are easily distracted and are inclined to do many tasks at once
B) people view time as linear and punctuality as a virtue
C) managers make commitments, set deadlines, and adhere to a strict schedule of meetings
and activities
D) managers and investors are impatient and want quick returns
A - ANS Managers with a geocentric view of the world ________.
A) are generally better at understanding and accommodating similarities and differences
among cultures
B) ritually avoid analyzing awkward situations in cross-cultural encounters
C) have a strong preference for ambiguity
D) tend to view other cultures through the lens of his/her own culture
C - ANS Black and Decker produces tools at a plant in North Carolina and ships the tools to
retailers in England. This is an example of which type of international business activity?
A) merchandising
B) importing
C) exporting
D) trading
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
