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In Theory, the MNE Should Support ________ Debt Ratios Than

Question 45

Multiple Choice

In theory, the MNE should support ________ debt ratios than a purely domestic firm because their cash flows are ________.


A) lower; more stable due to international diversification
B) lower; less stable due to international diversification
C) higher; more stable due to international diversification
D) higher; less stable due to international diversification

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