Where Profits Generated by the Foreign Operation Are Retained in the Foreign

question 21

Multiple Choice

Where profits generated by the foreign operation are retained in the foreign entity and used for its expansion:

• A) the foreign operation's currency is likely to be the presentation currency.
• B) the foreign operation's currency is likely to be the functional currency.
• C) the reporting entity's currency is likely to be the functional currency.
• D) the reporting entity's currency is likely to be the presentation currency.

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Definitions:

Stigma Consciousness

The awareness or sensitivity to the stigma one might face based on an attribute, identity, or status, affecting how one navigates social interactions and perceives oneself.

Discrimination Discrepancy

A difference or inconsistency in the treatment of individuals or groups based on characteristics such as race, gender, or age.

Superordinate Goal

An objective shared by individuals or groups that requires their cooperation to achieve, often used to reduce conflict between competing parties.

Climate Change

Long-term alterations in temperature, precipitation, and weather patterns, largely attributed to human activities, especially the emission of greenhouse gases.