“One-line consolidation” refers to:
a. the equity method.
b. the fair value method.
c. the purchase method.
d. pooling of interests.
ANSWER: A
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A newspaper article with which of the following headlines would be LEAST likely to involve the political environment?
A. FDA Adopts New Regulations for Generic Drugs B. Consumers Urged to "Buy American" C. Egg Sales Fall as Consumers Switch to Low Cholesterol Diets D. U.S. Signs Trade Agreement with Venezuela E. U.S.-Vietnamese Joint Ventures in the Future
Which of the following best illustrates forward vertical integration?
A. A firm that manufactures and sells car engines to major automobile companies launches its own line of cars. B. A designer shoe company that previously purchased leather from external suppliers establishes its own leather tannery. C. A chain of ice cream parlors launches a brand of toys and accessories for children. D. A multinational coffee chain sources its coffee beans from plantations in Brazil and Vietnam.
Recognition and recall tests are posttest methods based on
A. mail surveys. B. memory. C. inquiries. D. preferences. E. in-depth interviews.
Based on observations of firms that have successfully invested abroad, we can conclude that one of the competitive advantages enjoyed by MNEs is:
A) managerial expertise. B) financial strength. C) competitiveness of their home markets. D) all of the above are competitive advantages.