Because Increased External Financing by a Foreign Subsidiary Reduces the External

question 57

True/False

Because increased external financing by a foreign subsidiary reduces the external financing needed by the parent, such an action will not affect the overall MNC's cost of capital.

---

Definitions:

Prosocial Video Game

A type of video game designed to encourage players to engage in behaviors that benefit others and promote positive social interactions.

Disgust

An emotional response of revulsion or strong disapproval aroused by something unpleasant or offensive.

Sympathy

Feelings of pity or sorrow for someone else's misfortune, often leading to supportive or compassionate actions.

Belief in a Just World

The cognitive bias that assumes people get what they deserve, leading to a rationale for misfortune and suffering.