All categories

3 years ago

Which of the following is a likely reason for choosing FDI instead of licensing?

Business

1 answer:

Romashka [77]3 years ago

8 0

Answer:

The correct option is B

Explanation:

FDI is an investment in the business through an investor from another country and control is with the foreign investor over the company purchased.

Licensing means all the contracts to which the third part has granted or licensed any right to its subsidiaries or company.

So, the reason for preferring FDI instead of license is sharing the intellectual know how with the foreign rival might be risky as this is a limitation in licensing.

You might be interested in

10. Barbara Inc. is working on its cash budget for June. The budgeted beginning cash balance is $16,000. Budgeted cash receipts

katrin [286]

Answer: $17,000

Explanation:

Given that,

Budgeted beginning cash balance = $16,000

Budgeted cash receipts total = $188,000

Budgeted cash disbursements total = $187,000

Desired ending cash balance = $40,000

The excess (deficiency) of cash available over disbursements for June will be:

= Beginning cash balance + Cash receipts - Cash disbursements

= $16,000 + $188,000 - $187,000

= $17,000

5 0

3 years ago

Personal Finance What is a motive?

AleksAgata [21]

Motive is the reason behind the demand which in most cases is either money or quality

8 0

3 years ago

Bank A pays 10% interest compounded annually on deposits, while Bank B pays 9% compounded daily. a. Based on the EAR (or EFF%),

Pie

Answer:

Bank A should be chosen.

Explanation:

Given:

Effective annual rate (EAR) of bank A = 10%

Bank B pays 9% compounded daily. EAR of bank B is calculated below:

EAR = $( 1+\frac{i}{n})^{n} -1$

Where, i is 0.09

n is compounding period that is 365 (since it is compounded daily)

EAR = $( 1+\frac{0.09}{365})^{365} -1$

= 1.0942 - 1

= 0.0942 or 9.42%

Bank B pays EAR of 9.42%

Based on EAR, Bank A should be selected as it pays higher EAR of 10%.

3 0

3 years ago

During the beginning of the 21st century, the growth in computer sales declined for the first time in almost two decades. As a r

MAXImum [283]

Answer:

Answer for the question:

During the beginning of the 21st century, the growth in computer sales declined for the first time in almost two decades. As a result, PC makers dramatically reduced their orders of computer chips from Intel and other vendors. In general, the environment in which computer manufacturers operate is very uncertain; how should we expect this feature of the market to affect the length of contracts between computer manufacturers and their hardware manufacturers?

is given in the attachment.

Explanation:

4 0

3 years ago

Prepare a multiple-step income statement for Armstrong Co. from the following data for the year ended December 31. Sales, $755,0

OLEGan [10]

Answer:

See explanation

Explanation:

Armstrong Co.

Multi-step Income Statement

For the year ended, December 31, 20YY

Sales $755,000

Less: Cost of merchandise sold (330,000)

Gross Profit $425,000

Less: Operating expenses

Administrative expenses $35,000

Selling expenses $50,000

Total operating expenses $85,000

Income from operation $340,000

Other revenue and expenses:

Rent Revenue $25,000

interest expense ($30,000)

Total other revenues (expenses) $(5,000)

Income before taxes $335,000

Less: Income Tax 0

Net Income (loss) $335,000

That is the appropriate way to prepare a multi-step income statement

3 0

3 years ago