Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 04 Jun 2017 My Price 13.00

MNCs that consider direct foreign investment in its country.

A host government may offer incentives to MNCs that consider direct foreign investment in its country. Incentives may include all of the following, with the exception of:

  reduced regulations
  tax breaks on income earned in the host country
  tax breaks on income remitted to home country
  low-interest loans
 

none of the above

A U.S. firm is considering investment in either Canada or Mexico, but not both. It might select:

  Canada, because the U.S. dollar is expected to depreciate against the Canadian dollar
  Mexico, because the peso is expected to depreciate against the U.S. dollar
  Mexico, because the U.S. dollar is expected to appreciate against the peso
  Canada, because the Canadian dollar is expected to depreciate against the U.S. dollar
 

none of the above

MADCO, a U.S. company, exports to other countries. The company sells its accounts receivable without recourse. Factoring involves:

  purchase of accounts receivable by a factor
  accounts payable financing
  working capital financing
  countertrade
 

none of the above

A MNC could do which of the following to make it desirable to the host government:

  use local employees for managerial positions
  purchase supplies in the host country
  Reinvest profits in the host country
  all of the above
 

none of the above

A MNC might establish a manufacturing facility in a foreign country because:

  labor costs are lower
  tax rates are lower
  the host government offers incentives
  expenses are lower
  all of the above

Answers

Maurice Tutor
(5)
Status NEW Posted 04 Jun 2017 08:06 PM My Price 13.00

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