A Foreign Subsidiary Is a Local Operation in Which a Foreign

question 65

True/False

A foreign subsidiary is a local operation in which a foreign firm owns at least 51 percent.

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Definitions:

Appraisal

An evaluation, usually by an expert, to determine the value of a property or asset.

Quality Cost Report

A report that details prevention costs, appraisal costs, and the costs of internal and external failures.

Purchasing Department

A division within a company responsible for acquiring goods, services, and materials needed for its operations.

Balanced Scorecard

An integrated set of performance measures that are derived from and support the organization’s strategy.