The Valuation of an MNC Should Rise When an Event

question 37

Multiple Choice

The valuation of an MNC should rise when an event causes the expected cash flows from foreign to ____ and when foreign currencies denominating these cash flows are expected to ____.

• A) decrease; appreciate
• B) increase; appreciate
• C) decrease; depreciate
• D) increase; depreciate

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Definitions:

Evolutionary Psychology

A theoretical approach in psychology that attempts to explain mental and psychological traits—such as memory, perception, or language—as adaptations, i.e., as the functional products of natural selection.

Maladaptive

Behaviors or thoughts that instead of helping, end up being harmful or obstructing one’s ability to adjust healthily to particular situations or environments.

Homicide

The act of one human killing another, whether lawfully or unlawfully.

Olfactory System

The sensory system responsible for the sense of smell, involving the detection and processing of odor molecules by the olfactory receptors and brain.