Which of the Following Is NOT a Reason Why Capital

question 11

Multiple Choice

Which of the following is NOT a reason why capital budgeting for a foreign project is more complex than for a domestic project?

• A)Parent cash flows must be distinguished from project cash flows.
• B)Parent firms must specifically recognize remittance of funds due to differing rules and regulations concerning remittance of cash flows, taxes, and local norms.
• C)Differing rates of inflation between the foreign and domestic economies.
• D)All of the above add complexity to the international capital budgeting process.

---

Definitions:

Derailment

A thought process disorder characterized by a person's speech and thoughts slipping off track into loosely connected topics.

Word Salad

A string of incoherent words or phrases often seen in severe cases of mental disorder, where spoken language fails to convey meaningful connections.

Clang Association

A pattern of speech characterized by the use of words that rhyme or sound similar without a logical connection, often seen in bipolar disorder or schizophrenia.

Derailment

A thought disorder in which a person's speech is characterized by a series of loosely connected ideas; often seen in schizophrenia.