__________ Saves Money and Better Allocates Global Resources, as It

question 22

Multiple Choice

__________ saves money and better allocates global resources, as it benefits everyone because countries specialize in what they can do better than others.

• A)Joint ventures
• B)Global sourcing
• C)Direct investment
• D)Franchising

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Definitions:

Fixed Assets

Long-term tangible assets used in the operations of a business, not expected to be converted to cash within a year.

Net Investment

The total amount of money spent on capital assets, such as buildings and machinery, minus any depreciation.

EBIT

Earnings Before Interest and Taxes, a measure of a firm's profit that includes all income and expenses (operating and non-operating) except interest and income tax expenses.

Operating Cash Flow

A measure of the cash generated by a company's normal business operations, indicating its ability to pay bills and fund investments.