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    Question

    A bank certificate issued in more than one country for

    shares in a foreign company. The shares are held by a foreign branch of an International Bank. This certificate is called:
    A Certificate of deposit Correct Answer Incorrect Answer
    B American Depository Receipts Correct Answer Incorrect Answer
    C Global depository receipts Correct Answer Incorrect Answer
    D Floating rate Notes Correct Answer Incorrect Answer
    E None of the above. Correct Answer Incorrect Answer

    Solution

    Global Depository Receipt is a foreign currency-denominated negotiable instrument. Indian companies can trade their shares on international exchanges other than the US through a GDR. A foreign depository issues the depository receipt for an Indian company.

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