Multiple Choice
An argument for an MNC to have a debt-intensive capital structure is that:
A) it can reduce the MNC's exposure to exchange rate risk on earnings remitted by subsidiaries to the parent.
B) it can reduce the chance of bankruptcy.
C) it spreads the shareholder base.
D) it forces subsidiaries to pay dividends to shareholders.
Correct Answer:
Verified
Correct Answer:
Verified
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