Vidyalelo
Management · Q142

International Finance and Treasury

Graduate and Post Graduate · Management · question 142

Q142

______________ is (are income received by investors on foreign investments in financial assets securities

A.
Portfolio income
B.
Direct foreign income
C.
Unilateral transfers
D.
Factor income
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Factor income are income received by investors on foreign investments in financial assets securities. Factor income is income received from the factors of production: the inputs used in the production of goods or services in order to make an economic profit. Factor income on the use of land is called rent, income generated from labor is called wages, and income generated from capital is called profit.