Controls That Are Generally Used by MNCs to Monitor Performance

question 30

Multiple Choice

Controls that are generally used by MNCs to monitor performance on a monthly basis are:

• A)Direct
• B)Indirect
• C)External
• D)Internal

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Definitions:

After-Tax Real Rate

The interest rate after the adjustment for taxes and inflation.

Inflation Rate

The rate at which the general level of prices for goods and services is rising, and, subsequently, purchasing power is falling.

Annual Interest Rate

The interest rate charged by lenders on loans or paid on deposits, standardized as an annual rate.

Rate of Inflation

The Rate of Inflation measures the percentage increase in the general price level of goods and services in an economy over a period of time.