Differences in NPV of a Proposed Project Between Parent and Subsidiary

question 43

Multiple Choice

Differences in NPV of a proposed project between parent and subsidiary can arise from:

• A)political risk or currency risk.
• B)cash flow or currency asymmetries.
• C)cash flow or cost-of-capital asymmetries.
• D)political risk or economic risk.

---

Definitions:

Peak Experience

A moment of intense joy, creativity, or satisfaction, often leading to a feeling of transcendence.

Self-Determination Theory

A psychological theory focused on motivation, proposing that people have innate psychological needs that are the basis for self-motivation and personality integration.

Innate Tendency

Natural instincts or inclinations present at birth and not acquired through learning.

Competence, Autonomy

Attributes related to individuals' abilities to effectively perform tasks and make independent decisions, contributing to their sense of mastery and self-determination.