Not all countries allow MNCs the freedom to net payments,

Question

Quizplus · Accepted Answer

The statement in the question is correct that not all countries allow MNCs the freedom to net payments. It is also mentioned in option B that some countries require the MNC to ask permission and some countries limit netting. This is the most appropriate option as it provides additional relevant information about the restrictions on netting in some countries. Option A provides some information about netting allowances between specific countries, but this information does not necessarily apply to all MNCs or all countries. Option C is not accurate because netting can provide significant benefits, such as reducing transaction costs and foreign exchange exposure. Option D combines information from all the options, but the information in options A and C is not entirely accurate, and option B provides a more detailed and nuanced explanation of the restrictions on netting in some countries.

Not All Countries Allow MNCs the Freedom to Net Payments