Which of the Following Is a Common Operational Financial Objective

question 54

Multiple Choice

Which of the following is a common operational financial objective for MNEs?

• A) maximization of interest expense
• B) minimization of revenues from other countries
• C) correct positioning of the firm's income, cash flow, and available funds as to country and currency
• D) minimization of total assets held in foreign locations

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Definitions:

Duplex Mind

A concept suggesting the mind has two different processing systems, one automatic and unconscious, and the other deliberate and conscious.

Automatic System

A cognitive system that operates quickly and without conscious effort, responsible for fast and intuitive reactions and judgements.

Conscious System

Refers to the parts of the mind that are aware of surroundings, thoughts, and feelings at any given moment.

Planning Fallacy

The tendency for plans to be overly optimistic because the planner fails to allow for unexpected problems.