Which of the following financing tactics would most likely help an MNE avoid bankruptcy?

A) integrating e-commerce opportunities with domestic sales in order to maintain a steady balance of income and expenditures
B) agreeing to forward contracts with customers and hedging purchases and sales on future currency rates
C) organizing the capital structure so that the amount of debt financing is twice the level of equity financing
D) keeping the percentage of debt in the capital structure to a level that can be managed even during difficult business conditions

D

Business

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A tax credit is an amount subtracted directly from the amount of taxes owed.

a. true b. false

Business

What is the internal rate of return for a project that requires a current cash outlay of $15,187 and is expected to generate cash inflows of $5,000 at the end of each of the next four years?

A) 12.0% B) 11.5% C) 12.3% D) 14.1% E) 13.0%

Business