What Is the Term for an Intermediary in the Global

question 17

Multiple Choice

What is the term for an intermediary in the global market who assumes all risks and sells globally for its own account, and who is treated by the domestic manufacturer like a domestic customer?

• A)buyer for export
• B)export agent
• C)joint venture
• D)contract manufacturer

Evaluate the cash flow implications of accounts receivable and inventory changes.

Interpret the significance of financing activities and their effects on cash flow.

Calculate net cash flow from operating activities using changes in working capital.

Understand how to adjust net income to arrive at net cash provided by operating activities.

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Definitions:

Inferior Good

A type of good for which demand decreases as the income of consumers increases, opposite to normal goods.

Income Elasticity

A measure of how much the demand for a good or service changes with a change in consumers' income, indicating the nature of the good as either a necessity or a luxury.

Hybrid Cars

Vehicles powered by a combination of an internal combustion engine and one or more electric motors, using less fuel than conventional cars.

Normal Good

A type of good for which demand increases as the income of the consumer increases, showing a direct relationship between income and demand.