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A foreign direct investment (FDI) is an investment made by a firm or individual in one country into business interests located in another country. Foreign portfolio investment (FPI) instead refers to investments made in securities and other financial assets issued in another country. Both methods of foreign investment are crucial to global trade and development, however FDI is often considered the preferred mode and is less volatile. FDI investors typically take controlling positions in domestic firms or joint ventures and are actively involved in their management. FPI investors, on the other hand, are generally passive investors who are not actively involved in the day-to-day operations and strategic plans of domestic companies, even if they have a controlling interest in them. FDI investors cannot easily liquidate their assets and depart from a nation, since such assets may be very large and quite illiquid. FPI investors can exit a nation literally with a few mouse clicks, as financial assets are highly liquid and widely traded. So, FPI Investments are considered as Highly Volatile Investments.
‘M’, ‘N’, and ‘O’ entered into a business with initial investments of Rs. ‘4x + 550’, Rs. ‘5x + 450’, and Rs. ‘3x + 350’ respect...
A and B started a business by investing Rs.400 and Rs.540 respectively. After 9 months, A increased his investment by Rs.800. Find the ratio of annual p...
‘A’ and ‘B’ started a business by investing Rs. 9000 and Rs. 11000, respectively. 12 months later, ‘C’ joined the business by investing Rs. ...
P started a business with an investment of Rs.15000, after 6 months Q joined him with Rs.18000 and after another 6 months R joined them with Rs.20000. I...
Ankush and Bittu started a business together, where Ankush invested Rs. 'p' and Bittu invested Rs. 'p + 3000' initially. After 4 ...
Two partners, Amit and Ben, initiated a business with investments of Rs. 'P + 10' and Rs. 'P,' respectively. After 'm' months, Chetan joined them with a...
A invested Rs. 3X in a business. After four months B Joined him with Rs. 3X and A double his investment. If at the end of the years total profit ...
A and B started a business by investing sum in the ratio 3:4 respectively for 8 and 10 months respectively. If annual profit earned by B is Rs.1200, the...
Raj, Sam, and Tina began a business with initial investments in the ratio 6:5:4 respectively. After one year, Tina, Raj, and Sam made additional investm...
A and B started a business by investing Rs.300 and Rs.400 respectively. After 6 months, A increased his investment by Rs.800. Find the ratio of annual p...