One Argument for Why Subsidiaries Should Be Whollyowned by the Parent

question 42

Multiple Choice

One argument for why subsidiaries should be whollyowned by the parent is that:

• A) the potential conflict of interests between the MNC's managers and shareholders is avoided.
• B) the potential conflict of interests between the MNC's majority shareholders and minority shareholders is avoided.
• C) the potential conflict of interests between the MNC's existing creditors is avoided.
• D) the potential conflict of interests between the MNC's managers and creditors is avoided.

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Definitions:

Common Emotion

A basic emotional experience shared among humans, such as happiness, sadness, anger, fear, surprise, and disgust.

Sexual Frustration

The condition of having unfulfilled sexual desires or needs, which may lead to psychological stress or tension.

Apprehension

A feeling of anxiety or fear that something bad or unpleasant will happen.

Visual Cortex

the part of the cerebral cortex involved in processing visual information, located in the back part of the brain.