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5. In a secondary market for Eurobonds: a. Corporates usually issue their Eurobonds b. Banks buy Eurobond issues from corporates c. Banks can sell their

5. In a secondary market for Eurobonds: a. Corporates usually issue their Eurobonds b. Banks buy Eurobond issues from corporates c. Banks can sell their Eurobond holdings that have not matured yet to other banks d. None of the above 6. What is a reason for banks to go international? a. Knowledge advantage b. Reduce transaction costs c. Risk diversification d. All the above 7. Which of the following cases is an example of an Eurocredit? a. A US company borrowing from a US bank a certain monetary amount in Japanese yen b. An Albanian company borrowing from an Albanian bank a certain monetary amount in Euros c. A US company borrowing from a US bank a certain monetary amount in US dollars d. A and B 8. For a certain stock exchange we know that the market capitalization of all the companies listed is $1 billion and the total volume of transactions is $500 million. The turnover ratio in this market is: a. 200% b. 50% c. 33% d. 100%

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