The accounting rate of return is not appropriate for evaluating direct investment projects because it:
A) is based on double-entry bookkeeping.
B) does not take into account the effect of inflation.
C) is based on profit which is an accounting concept.
D) is not based on the principle of accruals.
Correct Answer:
Verified
Q14: Trade-oriented FDI:
A) generates an excess demand for
Q15: Political risk arises from:
A) changes in the
Q16: Tax policies affect the incentive to engage
Q17: What was not a determinant of FDI
Q18: The reasons why multinational firms engage in
Q20: The payback period is not an appropriate
Q21: Which of the following is an example
Q22: FDI is perceived by the host countries
Q23: Which of the following factors are important
Q24: International capital budgeting is:
A) less complex than
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