MNEs Typically Use Reporting Systems for Foreign Operations That Are

question 49

Multiple Choice

MNEs typically use reporting systems for foreign operations that are similar to the ones they use domestically ________.

• A)primarily in the early stages of operating abroad
• B)because common systems allow comparative evaluations
• C)until the subsidiary demonstrates mastery of the form
• D)only in those countries with extremely similar systems of information technology

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Definitions:

Ratify

To officially sanction or ratify an agreement or treaty, thereby making it legally binding.

Contractual Capacity

The legal ability of a party to enter into a contract, including being of legal age and having sound mind.

Undisclosed Principal

A situation where an agent acts on behalf of a principal, but the identity of the principal is not revealed to the third party involved in the transaction.

Liquor Sale

The regulated process of selling alcoholic beverages, subject to various laws and licenses depending on the jurisdiction.