Which of the Following Represents an Infrastructural Factor That Firms

question 43

Multiple Choice

Which of the following represents an infrastructural factor that firms must consider when selecting an FDI location?

• A) size and growth of national market
• B) political stability
• C) availability and quality of local manufacturing
• D) stability of currency

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Definitions:

Costing Approach

A method or system used to calculate the cost of a product, project, or service for accounting, financial, and strategic planning.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue.

Fixed Costs

Expenses that do not change in proportion to the activity of a business, such as rent, salaries, and insurance.

Variable Costs

Financial outlays that directly correspond to the volume of production or sales, encompassing costs for raw materials and direct labor.