Interest payments and any principal repayments which are due on a country’s external debt are known as ?

Related Mcqs:

1. What is called interest payments plus repayments of principal to creditors ?

   A. Debt retirement
   B. Debt relief
   C. Debt service
   D. Payback

2. Failure to make timely payment of interest or principal on a debt security or to otherwise comply with the provisions of a bound indenture is called ?

   A. Rolling debt
   B. Bad debt
   C. Rescheduling
   D. Default

3. By which process the holder of a mortgage seizes the property of a homeowner who has not made interest and or principal payments on time as stipulated in the mortgage contract ?

   A. Foreclosure
   B. Default
   C. Bankrupt
   D. None of these

4. What is called interest that is paid previously earned interest as well as on the principal ?

   A. Gross interest
   B. Simple interest
   C. Total interest
   D. Compound interest

5. A country’s total external debt (EDT) includes ?

   I. short term debt with a maturity of one year or less
   II. long-term debt with a maturity of more than one year
   III. repurchase obligations to the IMF
   IV. IV public official development assistance

   A. I and II only
   B. III and IV only
   C. I, II and III only
   D. I, II and IV only

6. Bank loans are usually altered to have longer maturities in order to assist the borrower in making the necessary repayments. What these loans are called____________?

   A. Rearranged loans
   B. Rescheduled loans
   C. Altered loans
   D. None of these

7. What is National debt or public debt ?

   A. State’s borrowing from its population
   B. State’s borrowing from foreign government
   C. state’s borrowing from international institution
   D. All of these

8. What is called the centers around the ability of a national economy to generate enough interests and principal on its foreign debt ?

   A. National economic risk
   B. Country economic risk
   C. Country finance risk
   D. Foreign exchange risk

9. Assume that Country A is relatively abundant in labor and Country B is relatively abundant in land Note that wages are the returns to labor and rents are the returns to land According to the factor price equalization theorem, once Country A begins specializing according to comparative advantage and trading with Country B: A. wages and rents should fall in Country A B. wages and rents should rise in Country A C. wages should rise and rents should fall in Country A D. wages should fall and rents should raise in Country A ?

   XA. wages and rents should fall in Country A
   B. wages and rents should rise in Country A
   C. wages should rise and rents should fall in Country A
   D. wages should fall and rents should raise in Country A

10. Which of the following is Not true about external debt ?

    A. External debt accumulates with international balance on goods services and income deficcits
    B. When debts are denominated in U.S dollars their appreciation during the 1990s increased the cost of servicing such debts
    C. In the 19901s LDCs relied increasingly on aid from DCs
    D. International lenders required LDC governments to guarantee private debt