If a U.S.firm Creates a Foreign Subsidiary Corporation,it

question 39

Multiple Choice

If a U.S.firm creates a foreign subsidiary corporation,it:

• A) Fully subjects it to income taxation in the foreign country.
• B) Fully avoids taxation in the United States on income repatriated from the foreign subsidiary.
• C) Will significantly reduce its taxable income.
• D) None of the above.