Which of the following is not a reason that the initial outlay for acquiring a firm in Asia was lower as a result of the Asian crisis
A) Property values in Asia had declined.
B) The parent's currency (for parents in the United States of Europe) has less purchasing power due to the weakening of the Asian currencies.
C) Many firms in Asia were near bankruptcy and were unable to obtain necessary funding.
D) The governments in Asian countries were more willing to allow foreign acquisitions of local firms as a means of resolving the crisis.

Question

Quizplus · Accepted Answer

The weakening of Asian currencies actually made the initial outlay higher for foreign acquirers as they had to pay more in their own currency to acquire the same amount of assets. The other options listed (A, C, and D) all contributed to lower initial outlays for foreign acquirers during the Asian crisis.

Which of the Following Is Not a Reason That the Initial