Answer:
D. international diversification
Explanation:
The Multinational corporations can reduce their risk by international diversification and reduced risk can increase debt capacity of MNC. The higher capacity to meet scheduled debt payment also reduces cost of capital.
The effect of international diversification on capital structure can be explained through
1. Co-insurance effect: Combining businesses with international firms provides reduction in operating risk and thereby increase debt capacity. This helps MNCs to include more debts in their capital structure.
2. Transaction cost theory. Internationalization is a way of internatilize intangible assets. Since intangible assets are not difficult to sale , international diversification helps MNCs to exploit their intangible assets. So MNCs with an eye of international diversification will try to develop these type of assets in their asset base.
3.Agency cost argument: MNCs will have high agency costs Diversification helps to reduce these agency costs International diversification creates larger markets and generates growth opportunities. Growth opportunities and debt ratios are inversely proportional .MNCs with higher growth opportunities will rely on equity rather than debt.
Answer:
a. Team performance curve
Explanation:
A team can be defined as a group of people or set of individuals with various skill set, knowledge and experience coming together to work on a project or task in order to successfully achieve a set goal and objective.
This ultimately implies that, a team comprises of individuals, workers or employees having complementary skills, knowledge and experience needed to execute a project or task successfully. Therefore, workers working as a team usually interact with the other team members and as a result, this enhances performance and strengthen the level of relationship they share.
Team performance curve indicates that there can be a performance decrease as a team goes through the storming phase of team development. During the storming phase in team development, team performance declines for a period of time as conflicts emerge regarding goals and contributions of team members.
Answer:
the monthly payment column represents the principal and interest payment for each $1,000 you borrow. For example, if you borrow $100,000 for 30 years at 4.25%, your monthly payment per $1,000 borrowed would be $4.92. Multiply that factor (4.92) by 100 (100,000/1,000) to estimate your monthly payment of $492.00.
Answer:
The correct answer is letter "A": the five forces framework.
Explanation:
Porter's Five Forces is an analysis scheme created by Harvard Business School professor Michael E. Porter (<em>born in 1947</em>). It allows business managers to gauge the level of competition within their company's industry, and thus assess current and potential lines of business. The ultimate goal of this analysis is to help managers set their profitability expectations because profitability decreases as competition increases.
