The Payment of Dividends Is an Attractive Option

question 3

Multiple Choice

The payment of dividends is an attractive option:

• A)when the rate of tax levied on dividends by the host-country government is high.
• B)for subsidiaries based in "high-risk" countries.
• C)for newly established subsidiaries.
• D)when local equity participation is limited.

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Definitions:

Electricity Generation

The process of producing electrical power through various means such as thermal, hydro, nuclear, wind, and solar energy conversion.

Natural Gas

A fossil fuel composed primarily of methane, used as a source of energy for heating, cooking, and electricity generation.

Output Per Million BTUs

The amount of a product or service produced per million British Thermal Units of energy consumed.

Thomas Malthus

An English economist and demographer known for his theory that population growth would outstrip food supply, leading to poverty and famine.