Which of the Following Is a Disadvantage of Global Capital

question 87

Multiple Choice

Which of the following is a disadvantage of global capital market?

• A) Foreign investments may be driven by speculative flows in the market.
• B) A truly global market reduces the liquidity of investments.
• C) The availability of capital is low in a global capital market.
• D) The cost of capital is more in a global market than a domestic market.

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Definitions:

Product Costing

Determining the cost of a product.

Continuing Operations

Continuing operations refer to the segments of a business that are expected to continue operating and generating revenue in the foreseeable future, excluding any discontinued operations.

Factory Overhead Allocation

The process of assigning indirect manufacturing costs, such as utilities and rent, to individual products or production activities.

Product Cost

The total cost involved in making a product, including direct labor, direct materials, and manufacturing overhead.