Which of the following statements is false? Foreign banks, in addition to having correspondent relation with United States banks, are permitted to set up subsidiaries in this country. The trust receipt is used by a bank in releasing B shipping documents to a customer when the bank wishes to retain title to the merchandise. A nation with relatively lower interest rate levels will have a relatively stronger currency. A nation with a relatively lower inflation rate will have a relatively stronger currency. The risk-free interest rate is composed of: an inflation premium and a default risk premium a default risk premium and a maturity risk premium a real rate of interest and a liquidity premium a real rate of interest and a liquidity premium The risk-free interest rate is composed of: an inflation premium and a default risk premium a default risk premium and a maturity risk premium a real rate of interest and a liquidity premium a real rate of interest and an inflation premium If the nominal rate of interest is 10%, the real rate (RR) of interest is 3%, the default premium (DRP) is 3%, the liquidity premium (LP) is 0.5%, and the maturity premium (MRP) is 1.5%, then the inflation premium (IP) must be r=RR+IP+DRP+MRP+LP 2% 2.5% 3% D) 1.5% Eurodollar bonds are: scrutinized by the SEC denominated in Eurodollars denominated in U.S. dollars (D) exstremely long-term obligation Dollar-denominated bonds sold outside the United States. Yankee bonds Eurodollar bonds (C) Global bonds (D) Bearer bonds