To Make an MNC's Operations Coincide with Its Own Goal

question 54

Multiple Choice

To make an MNC's operations coincide with its own goal, a host government could do all of the following, except:

• A) require the use of local employees for managerial positions.
• B) require social facilities.
• C) subsidize the MNC.
• D) require environmental controls.

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Definitions:

Collection Expected

This refers to the amount of money a business anticipates receiving from its customers who have purchased goods or services on credit.

Maturity Date

The date on which the principal amount of a loan, bond, or other financial instrument becomes due and payable.

Note Receivable

A written promise for amounts to be received by a creditor from a debtor, typically generating interest income for the holder.

Interest

The cost of borrowing money or the payment received for the investment of money, typically expressed as a percentage of the principal.