IBUS 401 FINAL EXAM - BULLINGTON – QUIZ ACTUAL 2025/2026 QUESTIONS AND 100% CORRECT ANSWERS

IBUS 401 FINAL EXAM - BULLINGTON – QUIZ ACTUAL 2025/2026 QUESTIONS AND 100% CORRECT ANSWERS T/F: A centralized management style, where major decisions about a foreign subsidiary are made by the parent company, results in an increase in agency costs - Answer -false 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 ___________. - Answer -increase; appreciate Assume that an American firm wants to engage in international business without major investment in the foreign country. Which method is least appropriate in this situation? - Answer -direct foreign investment Saller Co. has a subsidiary in Mexico. The expected cash flows in pesos to be received in the future from th