Which of the Following Is the Primary Factor in Determining

question 54

Multiple Choice

Which of the following is the primary factor in determining the functional currency of a foreign subsidiary?

• A) How the costs for the foreign entity's product are determined
• B) The denomination of the foreign entity's financing
• C) The location of the primary sales market that influences the price of the foreign entity's product
• D) Management's assessment of all relevant factors

---

Definitions:

Peer Conformity

The act of changing one's behavior or beliefs to match those of one's peers, often to fit into a group or gain acceptance.

Peer World

The social environment and community formed by individuals of approximately the same age, which greatly influences behaviors, attitudes, and learning.

Adolescents

Individuals in the transitional stage of human development that occurs between puberty and legal adulthood, typically between the ages of 13 and 19.

Children

Individuals who are in the early stages of their lives, typically characterized by rapid physical and mental development.