5. Home Depot established foreign operations in Lithuania and Taiwan in the current year. Corporate management has decided to evaluate the foreign operations and their managers on the basis of earnings before tax. + . O Happenings in Lithuania Strike of delivery truck drivers by strong trade unions Favorable discretionary price set by headquarters due to low corporate income tax rate High employee turnover . Happenings in Taiwan Political sanctions on imports from mainland China Inflation of the New Taiwan dollar (NT$) High interest rate on intercompany loan from headquarters Discuss the issues that Home Depot's corporate management should consider in determining exactly how its foreign operations' earnings before tax will be measured for performance evaluation purposes. 5. Home Depot established foreign operations in Lithuania and Taiwan in the current year. Corporate management has decided to evaluate the foreign operations and their managers on the basis of earnings before tax. + . O Happenings in Lithuania Strike of delivery truck drivers by strong trade unions Favorable discretionary price set by headquarters due to low corporate income tax rate High employee turnover . Happenings in Taiwan Political sanctions on imports from mainland China Inflation of the New Taiwan dollar (NT$) High interest rate on intercompany loan from headquarters Discuss the issues that Home Depot's corporate management should consider in determining exactly how its foreign operations' earnings before tax will be measured for performance evaluation purposes