The Term "Global" Target Capital Structure for an MNC Represents

question 71

Multiple Choice

The term "global" target capital structure for an MNC represents the MNC's capital structure:

• A) in the U.S.
• B) relative to competitors across all countries.
• C) where it has its largest subsidiary.
• D) when consolidating all of its subsidiaries.

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Definitions:

Outstanding Shares

The total number of shares of stock that have been issued and are currently held by investors, including public shareholders and company insiders.

Cash Dividends

Payments made by a corporation to its shareholders from profits in the form of cash.

Journal Entries

The recording of financial transactions into the general ledger, detailing the accounts affected, amounts, and dates, which forms the basis of the accounting system.

Trading Securities

Financial instruments bought and held primarily for selling them in the short term to profit from their price changes, recorded as current assets on the balance sheet.