Allmax is concerned that its subsidiary in Venezuela could be expropriated (seized) by the host government without compensation within the next few years. The type of risk Allmax faces with its Venezuelan subsidiary is termed ______ risk.
A. pure play
B. political
C. international beta coefficient
D. foreign exchange
E. global business
Answer: B
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What is the total fixed cost using variable costing?
A) $800,000 B) $390,000 C) $260,000 D) $560,000
Long-lived assets with an indefinite life include:
a. trade names. b. trademarks. c. certain renewable licenses. d. goodwill arising from a business combination. e. all of the above.
If a service environment is inherently ____________, one should avoid increasing ____________ levels, as this would move customers into the "distressed" region of Russell's model
a. pleasant; arousal b. pleasant; excitement c. pleasant; relaxation d. unpleasant; arousal e. unpleasant; excitement
Saulsberry Corporation manufactures numerous products, one of which is called Beta70. The company has provided the following data about this product:?Unit sales90,000?Selling price per unit$60.00?Variable cost per unit$36.00?Traceable fixed expense$2,030,000Required:a. What net operating income is the company earning now on its sales of Beta70?b. Management is considering increasing the price of Beta70 by 10%, from $60.00 to $66.00. The company's marketing managers estimate that this price hike would decrease unit sales by 15%, from 90,000 units to 76,500 units. Assuming that the total traceable fixed expense does not change, what net operating income will Beta70 earn at a price of $66.00 if this sales forecast is correct?c. Assuming that the total traceable fixed expense does not
change, how many units of Beta70 would Saulsberry need to sell at a price of $66.00 to earn the same net operating income that it currently earns at a price of $60.00? (Round your answer up to the nearest whole number.) What will be an ideal response?