Which of the Following Financing Tactics Would Most Likely Help

question 58

Multiple Choice

Which of the following financing tactics would most likely help an MNE to avoid bankruptcy?

• A) integrating e-commerce opportunities with domestic sales in order to maintain a steady balance of income and expenditures
• B) agreeing to forward contracts with customers and hedging purchases and sales on future currency rates
• C) organizing the capital structure so that the amount of debt financing is twice the level of equity financing
• D) keeping the debt proportion of their capital structure to a level that can be managed even during difficult business conditions