Which of the Following Factors Is a Primary Indicator Used

question 39

Multiple Choice

Which of the following factors is a primary indicator used to choose a functional currency?

• A)Autonomy of the subsidiary
• B)Proportion of intercompany transactions
• C)Sources of competitive forces and regulations
• D)Ability of subsidiary to generate cash flows to service its debts

---

Definitions:

Industriousness

The quality of being hard-working and diligent, often leading to increased productivity and achievement.

Federal Government

The national government of a federation, responsible for areas of governance designated to the national level by the constitution.

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations and marked by significant battles and events shaping modern history.

Great Depression

A severe worldwide economic downturn that took place during the 1930s, marked by high unemployment, deflation, and widespread poverty.