A Company Can Carry on Direct Exporting in Several Ways

question 149

Multiple Choice

A company can carry on direct exporting in several ways. An overseas branch or subsidiary is ________.

• A) a home-based sales representative that travels abroad to find business
• B) a distributor or agent who holds limited or exclusive rights to represent the company in that country
• C) a sales branch in the foreign country that handles sales and distribution there
• D) a home-based department that manages exporting
• E) none of the above

Apply tax considerations to capital budgeting analyses, including the effect of tax rates on project inflows and outflows.

Integrate working capital requirements and their release into NPV calculations.

Incorporate one-time expenses and their timing into capital budgeting projects.

Evaluate decisions based on the after-tax discount rate and discount factors.

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Definitions:

Directly Affected

Individuals or entities that experience the immediate consequences or benefits of an action or decision.

Economic Responsibility

The obligation of an organization to act in ways that serve both its own interests and the interests of its stakeholders, ensuring its actions maintain or enhance the economic status and conditions of its stakeholders.

Social Responsibility

The obligation of organizations or individuals to act in ways that benefit society at large, beyond their own interests or profits.

Customer Responsibility

The obligation of customers to act in a manner that respects the terms of service, policies, and ethical considerations of transactions with businesses.