Recently the U

question 15

Multiple Choice

Recently the U.S. dollar depreciated while the Japanese yen soared in value. Honda found that it was much cheaper to ship its Accord models to Europe from its Ohio
Plant than from Japan. This could most accurately be classed as a move made
Because of problems or opportunities with:

• A) distance.
• B) logistics.
• C) exchange rate fluctuations.
• D) foreign intermediaries.
• E) domestic intermediaries.

---

Definitions:

Owner's Equity

The residual interest in the assets of a company after deducting its liabilities, representing the ownership's claim on assets.

Liabilities

Financial obligations or debts that a company or an individual owes to others.

Asset

An asset is a resource with economic value that an individual, corporation, or country owns or controls with the expectation that it will provide future benefit.

Owner's Equity

The residual interest in the assets of an entity after deducting liabilities, representing the ownership stake of the business owners.