What Is a Difference Between an International Firm and a Multinational

question 5

Multiple Choice

What is a difference between an international firm and a multinational firm?

• A) Multinational firms design, produce, and market products in many nations, whereas international firms are based primarily in one nation.
• B) International firms design, produce, and market products in many nations, whereas multinational firms are based primarily in one nation.
• C) International and multinational firms are the same thing.
• D) Multinational firms are concerned primarily with foreign markets, whereas international firms are concerned primarily with the domestic market.
• E) International firms are concerned primarily with foreign markets, whereas multinational firms are concerned primarily with the domestic market.

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Definitions:

Depreciable Cost

The total amount that can be depreciated over the life of an asset, typically the asset's cost minus its salvage value.

Salvage Value

The foreseen redemption value of an asset after its period of usability concludes.

Useful Life

The estimated time period that an asset is expected to be usable for its intended purpose.

Equipment Cost

The total amount spent to acquire, install, and prepare equipment for its intended use, including purchase price and associated expenses.