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Maximus Motor Company (Scenario)

question 71

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Maximus Motor Company (Scenario)
Maximus Motor Company is a British automobile manufacturer that builds high-end luxury cars for sale around the world. Maximus managers recognize they are missing opportunities in emerging markets, such as India, which have an increasing number of middle-class people ready to purchase affordable cars. Competitors that entered the Indian market experienced significant profits over the last two years. Maximus managers have been assigned the task of determining the best strategy for Maximus to do business in India.
-Which of the following is likely to be the most beneficial to Maximus if it builds a manufacturing facility in India?


Definitions:

Book Balance

The Book Balance represents the amount of money a company records in its accounting records, not necessarily reflecting the available or actual cash on hand.

Available Cash Balance

The amount of cash that a company has on hand after accounting for all operational and investment expenses.

Electronically

Pertaining to the use of computers, the internet, or other digital technology to facilitate processes, transactions, or communications.

Total Collection Time

The average period it takes for a business to receive payments owed by its customers.

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