The Optimal Financial Structure of Multinational Firms Could Differ from That

question 51

Multiple Choice

The optimal financial structure of multinational firms could differ from that of domestic firms because of

• A) political pressures on the host country.
• B) the greater availability of capital to multinational firms.
• C) the ability of multinational firms to diversify their cash flows internationally.
• D) all of the above.

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Definitions:

Satisfaction

The fulfilment of one's needs or desires through the consumption of goods or services, often used as a measure of consumer contentment with a product.

Marginal Utility

The additional satisfaction or utility that a consumer gains from consuming one more unit of a good or service.

Pretzels

A type of baked pastry made from dough that is commonly shaped into a knot and typically salted.

Utils

A hypothetical unit of measurement used in economics to quantify the level of utility or satisfaction gained from consuming goods and services.