When Determining Whether a Particular Proposed Project in a Foreign

Multiple Choice

When determining whether a particular proposed project in a foreign country is feasible:​

A) a country risk rating can adequately substitute for a capital budgeting analysis.
B) country risk analysis should be incorporated within the capital budgeting analysis.
C) the effect of country risk on sales revenue is more important than the effect on cash flows.
D) the project with the highest country risk rating (lowest country risk) should be accepted.
E) B and D