In Some Situations,the Profits Earned by a Subsidiary Cannot Be

question 28

Multiple Choice

In some situations,the profits earned by a subsidiary cannot be immediately paid to the parent because of:

• A)restrictions on how much of the profit of a foreign subsidiary can be remitted to the parent imposed by the country where the parent is located.
• B)international trade restrictions that limit the amount of capital flow from country to country.
• C)restrictions on remittances from the subsidiary to the parent imposed by the country where the subsidiary is located.
• D)the lack of liquidity in the assets of the subsidiary that would allow the subsidiary to send cash to the parent.

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Definitions:

International Comparisons

The practice of comparing data, policies, economies, or other aspects between different countries to understand global trends and differences.

Educational Prowess

Refers to exceptional skill or expertise in the domain of education, often implying successful teaching and learning practices.

Social Progress

Refers to the improved social conditions, justice, and quality of life within a society.

Cultural Capital

The non-financial social assets that promote social mobility beyond economic means, such as education, intellect, style of speech, and dress.