A Firm Considers an Exporting Project and Will Invoice the Exports

question 36

Multiple Choice

A firm considers an exporting project and will invoice the exports in dollars. Estimating the expected cash flows in dollars would be more difficult if the currency of the foreign country is:

• A) fixed
• B) volatile
• C) stable
• D) None of these are correct, as the firm is not exposed.

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Definitions:

Content Theories

Theories in psychology and management that focus on understanding what motivates individuals, identifying specific factors that contribute to motivation such as needs, desires, and goals.

Goal-Setting Theory

A motivational theory that emphasizes the setting of specific, measurable, achievable, relevant, and time-bound (SMART) goals to enhance performance.

Acquired-Needs Theory

A motivational model that suggests people's needs are acquired over time and are shaped by life experiences, including needs for achievement, affiliation, and power.

ERG Theory

is a motivational theory proposed by Clayton Alderfer that categorizes human needs into three groups: Existence, Relatedness, and Growth, suggesting that more than one need can be motivational at the same time.