Dependency Theorists Suggest That Multinational Corporations Are Just a New

question 44

Multiple Choice

Dependency theorists suggest that multinational corporations are just a new form of neocolonialism aimed at supplying the Western world with natural resources and cheap labor. These corporations, rather than helping the populace, actually intensify many of the problems of Third World countries by:

• A) making it possible to get cheap food and adequate housing
• B) creating benefits for a wealthy elite and a small middle class while allowing the vast majority of the population to remain in poverty
• C) establishing a strong lower class that eventually overthrows the ruling elite in the country
• D) showing the people all of the riches, modern conveniences, and lifestyles that the majority of the population cannot ever possess

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Definitions:

Cash Cycle

The period between the acquisition of inventory by a business and the collection of accounts receivable generated by the sale of that inventory.

Inventory Turnover

Inventory turnover is a ratio showing how many times a company's inventory is sold and replaced over a particular period, indicating the efficiency of inventory management.

Accounts Payable

Accounts payable is an accounting term for the outstanding bills or debts a company owes to suppliers or vendors for goods or services received.

Operating Cycle

The operating cycle is the amount of time it takes for a company to purchase inventory, sell it to customers, and collect the cash from these sales, reflecting the efficiency of a company's operations.