The term "global capital structure" is used in the text to represent the:
A) average capital structure of all MNCs across countries.
B) average capital structure of all domestic firms across countries.
C) capital structure of a subsidiary of a particular MNC.
D) capital structure of a particular MNC overall (including all subsidiaries).

Question

Quizplus · Accepted Answer

The term "global capital structure" refers to the overall capital structure of a particular MNC, including all of its subsidiaries across different countries. Thus, option D is the correct choice. Option A is incorrect because it refers to the average capital structure of all MNCs, whereas the text is discussing the capital structure of a particular MNC. Option B is incorrect because the text is not referring to the average capital structure of all domestic firms, but rather to the capital structure of a specific MNC. Option C is incorrect because it refers to the capital structure of a particular subsidiary of an MNC, whereas the text is discussing the overall capital structure of the MNC.

The Term "Global Capital Structure" Is Used in the Text