Of the Following, Which Is NOT Considered to Be an Advantage

question 10

Multiple Choice

Of the following, which is NOT considered to be an advantage to MNEs of having a financial structure adhere to local debt norms?

• A)A localized financial structure reduces criticism of foreign subsidiaries that have previously used a different capital structure.
• B)A localized financial structure helps management evaluate return on equity investment relative to local competitors in the same industry.
• C)MNE have a competitive advantage over the locals, thus by using the local capital structure, the MNE is even stronger.
• D)All of the above are noted as advantages to having a localized capital structure.

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Definitions:

Finite Capacity Scheduling

A detailed planning method that ensures production activities are scheduled within the constraints of available resources and capacity.

MRP

Material Requirements Planning, a system for managing manufacturing processes by calculating materials, components, and schedule needs.

Time-Phased Product Structure

A detailed chart representing the timing and quantity of each component needed in the manufacturing process over time.

Bill Of Material

A comprehensive list of raw materials, components, and assemblies needed to manufacture or repair a product.