When the Choice of Financing a Foreign Subsidiary Is Between

question 86

Multiple Choice

When the choice of financing a foreign subsidiary is between external debt and equity financing

• A)political risk considerations tend to favor the latter.
• B)political risk considerations tend to favor the former.
• C)political risk is separate from financial risk and so does not enter into a discussion of debt equity ratios.
• D)none of the above

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Definitions:

Boot Process

The specific order a device goes through to power up, locate an operating system, and automatically load services and applications.

BIOS

Basic Input/Output System, firmware used to perform hardware initialization during the booting process of a computer.

Active Listening

The practice of paying full attention to speakers, understanding their message, and responding thoughtfully, essential in effective communication.

Jewelry

Decorative items worn for personal adornment, such as rings, necklaces, and bracelets, often made from precious metals and stones.