Decision by a us based mnc to divest a subsidiary

Assignment Help Accounting Basics
Reference no: EM13133863

Which of the following is not directly considered in the decision by a U.S.-based MNC to divest a subsidiary?

a. the required rate of return on the subsidiary.

b. forecasted exchange rates of the subsidiary's currency relative to the dollar.

c. the initial outlay on the project.

d. the possible selling price of the project.

Reference no: EM13133863

Questions Cloud

Canadian dollar appreciation : Given these exact figures above, the dollar value of Whitewater's "earnings before interest and taxes" would ____ if the Canadian dollar appreciates; the dollar value of Whitewater's cash flows would ____ if the Canadian dollar appreciates.
What is ?e for the combustion of graphite : When 0.100g of graphite is burned completely in a bomb calorimeter(heat capacity =3.344kJ/?C), containing 3000 g of water, a temperature rise of 0.21?C is observed.
List the equally likely outcomes : Bolts are randomly selected until a 5 mm bolt is obtained. The outcomes are the sequences of bolts that can be selected. So one outcome is 1, and the other is 342. List the equally likely outcomes.
Ninety days after date : Briggs signed a note that read in part as follows: "Ninety Days after date, I, we or either of us, promise to pay to the order of Three Thousand Four Hundred Ninety-Eight and 45/100-Dollars." The words and symbols in italic were typed, and the rest o..
Decision by a us based mnc to divest a subsidiary : Which of the following is not directly considered in the decision by a U.S.-based MNC to divest a subsidiary?
Illustrate cantina''s demand and marginal revenue curve : Find the Cantina's marginal revenue function and in the same diagram, illustrate the Cantina's demand curve and marginal revenue curve.
Calculate the volume of household bleach : A solution of household bleach contains 5.25% sodium hypochlorite, NaOCl, by mass. Assuming that the density of bleach is the same as water,
Is correlation coefficient significantly different from zero : The equation for the line of best fit is given as Y = 1.8x + 28.7, and the Pearson correlation coefficient was 0.61. Was the correlation coefficient significantly different from zero? Use α = 0.05.
Discuss the recognized risk factors for abuse of drugs,alcoh : List and discuss the recognized risk factors for abuse of drugs and alcohol. Formulate strategies for reducing risk in your own community.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Segregation of duties with adaptations

Segregation of Duties (SoD) and other classic internal controls such as management oversight have been adapted to consider technology. Compare/contrast the classic controls with their adaptations for technology.

  Partnership interest at year-end

During the first year of partnership operations, JK had net taxable income of $50,000. The partnership distributed $20,000 cash to Julie. Julie's adjusted basis (outside basis) for her partnership interest at year-end is:

  Determine the amount to be recognized as depreciation

Stevenson Corporation acquires a one-year old building at a cost of $500,000 at the beginning of Year 2. The building has an estimated useful life of 50 years.

  Prepare a sample draft of a standard unqualified audit

Smith Manufacturing's bank has just informed the company's CFO that an audit is required to obtain an operating line of credit (LOC). The company needs the LOC to maintain its cash flow.

  Marginal tax rate and effective tax rate

Calculate the marginal tax rate and the effective tax rate for each of the C corporations. Explain why the marginal tax rate for a C corporation can exceed 35%, but the effective tax rate cannot.

  What is the margin of safety expressed

If Fama Company, with a break-even point at $360,000 of sales, has actual sales of $480,000, what is the margin of safety expressed (1) in dollars and (2) as a percentage of sales? Round the percentage to the nearest whole number.

  What accounting standard provides the authoritative guidance

What accounting standard provides the authoritative guidance for asset impairments? Briefly discuss the scope of the standard (i.e., explain the types of transaction to which the standard applies).

  What will be the amount charged as an expenditure

A government accounts for a municipal landfill in an enterprise fund. How will it determine how much to charge as an expense (and add to a liability) each year that the landfill is in use? Suppose, instead, that it accounts for the landfill in a g..

  Determine the inventorys direct labor costs

Red Wing Company applies factory overhead based on direct labor costs. The company incurred the following costs during 2011: direct materials costs, $637,500; direct labor costs, $2,500,000; and factory overhead costs applied, $1,000,000.

  Determining the cash flow by using current system

What is the Year 3 cash flow if Brisbane keeps using its current system? What is the Year 3 cash flow if Brisbane replaces its current system? supposing the discount rate of 8%, what is the net present value when Brisbane keeps using its current syst..

  Calculating goodwill in transaction

Goodwill arises when one firm acquires the net assets of another firm and pays more for those net assets than their current fair value. Suppose that Got Em Co. had operating income of $64,300 and net assets with a fair market value of $184,000. Ta..

  Diluted earnings per share

The bonds were issued four years ago at par ($2,000,000), carry a 7% interest rate, and are convertible into 40,000 shares of common stock. The company has a 40% tax rate. Diluted earnings per share are ??

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd