The ____ the percentage of an MNC's business conducted by its foreign subsidiaries, the ____ the percentage of a given financial statement item that is susceptible to translation exposure.
A) greater; smaller
B) smaller; greater
C) greater; greater
D) none of the above

Question

Quizplus · Accepted Answer

The greater the percentage of an MNC's business conducted by its foreign subsidiaries, the greater the percentage of a given financial statement item that is susceptible to translation exposure, as more of the financials are affected by currency exchange rate changes.

The ____ the Percentage of an MNC's Business Conducted by Its