The ____ an MNC, the ____ Its Cost of Capital

question 33

Multiple Choice

The ____ an MNC, the ____ its cost of capital is likely to be.

• A) larger; higher
• B) larger; lower
• C) smaller; lower
• D) A and C

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Definitions:

Probability Distribution

A mathematical representation that outlines all possible outcomes and their probabilities for a random variable within a specified scope.

Sample

A subset of individuals, items, or events from a larger population used to draw conclusions about that population.

Population Mean

The average of all the values in a population. It is a parameter that describes the central tendency of the entire population.

Sample Mean

The average of all values in a subset of a population, used as an estimate of the population mean.