A firm may incorporate a country risk rating into the capital budgeting analysis by:
a. adjusting the NPV upward if the country risk rating has fallen (implying increased risk) below a benchmark level.
b. adjusting the discount rate upward as the country risk rating decreases (implying increased risk)
c. A and B
d. none of the above
b
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Fabrick Company's quality cost report is to be based on the following data: Lost sales due to poor quality$19,300?Quality data gathering, analysis, and reporting$70,100?Net cost of spoilage$62,200?Re-entering data because of keying errors$24,200?Test and inspection of in-process goods$12,300?Final product testing and inspection$42,600?Statistical process control activities$45,700?Returns arising from quality problems$34,900?Downtime caused by quality problems$65,300?What would be the total internal failure cost appearing on the quality cost report?
A. $96,900 B. $43,500 C. $100,200 D. $151,700
Which of the following sections of the statement of cash flows includes activities that affect net income on the income statement?
A) the financing activities section B) the operating activities section C) the investing activities section D) the non-cash investing and financing section