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Multinational corporations (MNCs) face the advantages and disadvantages of operating in a global environment. They have to deal with monetary policy of multiple central banks,

Multinational corporations (MNCs) face the advantages and disadvantages of operating in a global environment. They have to deal with monetary policy of multiple central banks, macroeconomic issues and other factors of other nations. Specifically, MNCs have to deal with exchange rate risk, political risk, varying tax rates, and interest rates in several different countries. Discuss reasons for MNCs to revise their capital structure.

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