To avoid paying U.S. taxes from income made in other countries, many U.S. companies are ____ outside the USA, but ___ inside the USA.
A) cash-poor; cash-rich
B) cash-rich; cash-poor
C) unincorporated; incorporated
D) cash-poor; incorporated
E) unincorporated; cash-rich
Ans: B) cash-rich; cash-poor
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Suppose a perfectly competitive firm is in long-run equilibrium and there is a decrease in demand
Suppose also that the firm operates in an industry in which the prices of productive inputs vary with the level of output, increasing when output increases and decreasing when output decreases. Which of the following will occur at the new long-run equilibrium? A) Price will be lower than it was at the initial long-run equilibrium. B) Price will be the same as it was at the initial long-run equilibrium. C) Price will be higher than it was at the initial long-run equilibrium. D) The industry supply function will shift to the right.
Typically a mix of informational and persuasive advertising is used for
A) experience goods. B) credence goods. C) credible goods. D) search goods.
Economists assume that the goal of a firm is to:
a. maximize total revenue. b. maximize total profit. c. minimize production. d. maximize utility.
Which of the diagrams illustrate(s) the effect of a decrease in incomes on the market for secondhand clothing?
A. A and C.
B. A only.
C. B only.
D. C only.