Where Profits Generated by the Foreign Operation Are Retained in the Foreign

question 21

Multiple Choice

Where profits generated by the foreign operation are retained in the foreign entity and used for its expansion:

• A) the foreign operation's currency is likely to be the presentation currency.
• B) the foreign operation's currency is likely to be the functional currency.
• C) the reporting entity's currency is likely to be the functional currency.
• D) the reporting entity's currency is likely to be the presentation currency.

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Definitions:

Competing

Engaging in a rivalry or contest with others to achieve superiority or a win.

Conflict Management

The practice of identifying and handling conflicts in a sensible, fair, and efficient manner, with strategies varying from avoidance to confrontation.

Assertive Communication

A communication style in which individuals express their own needs, desires, and opinions respectfully and directly.

Collaboration

The action of working with someone to produce or create something, often seen as a powerful way to achieve common goals.