It often makes sense for a firm to enter a foreign market on a large scale to reduce the costs of any subsequent failure
Indicate whether the statement is true or false.
FALSE
It often makes sense to enter a foreign market on a small scale to reduce the costs of any subsequent failure. Most importantly, entering on a small scale provides the time and opportunity to learn about the foreign country before making significant capital commitments to that market.
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Tritan Company is preparing its statement of cash flows using the indirect method
Refer to the following portion of the comparative balance sheet: Tritan Company Comparative Balance Sheet December 31, 2017 and 2016 2016 2015 Increase/(Decrease) Accounts Payable $7,000 $5,000 $2,000 Accrued Liabilities 3,500 1,100 2,400 Long-term Notes Payable 56,000 67,000 $(11,000 ) Total Liabilities $66,500 $73,100 $(6,600 ) Additional information provided by the company includes the following: 1. During 2016, the company repaid $35,000 of long-term notes payable. 2. During 2016, the company borrowed $24,000 on a new note payable. Based on the above information only, what amount of net cash flow would be shown in the financing section of the statement of cash flows? A) $(11,000 ) B) $11,000 C) $59,000 D) $(59,000 )
A firm's cost of capital may also be known as:
A) the cost of financing. B) the internal rate of return. C) modified internal rate of return. D) the prime rate.