1. When a unit of a multinational corporation creates knowledge in specific areas that can be used by other units within the organization, that unit is called a(n):

a)implementer

b)global innovat

c) local innovator

d)integrate player

2. According to surveys in the U.S. and the United Kingdom, what are the most frequently used financial measures to evaluate subsidiary performance by MNCs?

a) Stock price, return on investment, profit

b)Budgeted profit vs. actual profit, stock price, sales

c)Budgeted profit vs. actual profit, return on investment, profit

d)Internal rate of return, profit, return on investment

3.Which capital budgeting technique recognizes the time value of money?

a)Payback period

b)Internal rate of return

c)Book rate of return

d)Return on investment

4. What language will be used for the quarterly reports submitted by foreign companies to the U.S. Securities and Exchange Commission?

a) The quarterly reports may be in the company's local language

b) English or German

c) English or one of the languages of the European Union

d) English only

5. Of the following British professional accountancy associations, whose members CANNOT sign an audit report? a) Institute of Chartered Accountants in England and Wales (ICAEW) b) Association of Public Accountants (ACCA) c) Institute of Public Finance and Accounting (CIPFA) d) Institute of Chartered Accountants in Scotland (ICAS)

6. Mexico has had a professional association of public accountants since what year? a)1821 b)1917 c)1929 d) 1964

7.How can greater disclosure in the notes to the financial statements facilitate the analysis of foreign financial statements?

8. Identify three characteristics of the Chinese accounting profession that are different from their counterparts in Anglo-American countries.

9. Do you think it is important to separate the evaluation of a subsidiary's performance from that of its manager? Why?

10. Explain the role of accounting in the implementation of multinational business strategy.