Which of the Following Statements Is True

question 138

Multiple Choice

Which of the following statements is true?

• A)Governments in some countries may impose controls and limit selling prices of a company's products.
• B)The economic,legal,political,social,and cultural environments differ across countries.
• C)Because of advances in telecommunications and transportation,the availability of materials and skilled labour does not differ significantly across countries.
• D)Both A and B are correct.

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Definitions:

Authorized Shares

The highest quantity of shares that a company is authorized to issue according to its articles of incorporation.

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock and often pays dividends at a fixed rate.

Dividends

Payments made by a corporation to its shareholder members, distributing a portion of the company's earnings.

Owners

Individuals or entities that possess legal rights and control over a business or asset.