All of the Following Statements About Transnational Corporations (TNCs) Are

question 54

Multiple Choice

All of the following statements about transnational corporations (TNCs) are true except

• A) as a result of the operations of TNCs, U.S. consumers frequently benefit from low prices that are subsidized by the social costs absorbed by citizens in much poorer countries.
• B) to locate themselves near consumers who buy their products, TNCs direct most investment to affluent countries north of the equator.
• C) TNCs often benefit from lax labor laws in poor countries.
• D) TNCs often benefit from poor countries' weak enforcement of environmental regulations.
• E) there is no significant foreign-based TNC investment in the United States.

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Definitions:

Land Improvements

Land improvements encompass enhancements made to land such as landscaping, paving, and lighting, which increase the value and usability of the property but may depreciate over time.

Buildings

Fixed assets used for business operations, representing a significant financial investment and appearing as long-term assets on a company's balance sheet.

Land

An asset representing the ground or property not intended for sale in the regular course of business, often used in operations or investment.

Ordinary Maintenance

Refers to the routine upkeep and repair of equipment or facilities to ensure their continued operation and prevent major breakdowns.