Based on the Factors That Influence a Country's Cost of Capital

question 67

Multiple Choice

Based on the factors that influence a country's cost of capital, the cost of capital in less developed countries is likely to be ____ than that of the U.S. and ____ than that of Japan.

• A) higher; higher
• B) higher; lower
• C) lower; lower
• D) lower; higher

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Definitions:

Periodic Inventory System

An inventory accounting system where updates to the inventory accounts occur at specific periods rather than continuously, often requiring a physical count.

Merchandise Inventory

Goods and products that a retailer, wholesaler, or distributor has on hand to sell to customers.

Purchases

In accounting, refers to the acquiring of goods or services that are necessary for the operation of a business or for resale.

Cost Of Merchandise Sold

The total cost of acquiring or manufacturing the goods that were sold to customers during a period.