Please solve 1 through 6

1. With regard to corporate goals, an MNC is mostly concermed with maximizingand a purely domestic firm is mostly concerned with maximizing shareholder wealth; short-term earnings shareholder wealth; shareholder wealth C) short-term earnings; sales volume D) short-term earnings; shareholder wealth The valuation of an MNC should rise when an event causes the expected cash flows from foreign division to expected to A) decrease; appreciate B) increase; appreciate 2 and when foreign currencies denominating these cash flows are decrease; depreciate increase; depreciate 3. The agency costs of an MNC are likely to be lower if it A) scatters its subsidiaries across many foreign countries B) increases its volume of international business. . C) uses a centralized management style. D) scatters its subsidiaries across many foreign countries AND increases its volume of international business. The Sarbanes-Oxley Act improves corporate governance of MNCs because it . A) makes executives more accountable for verifying financial statements B) eliminates stock options as a form of compensation. C) ties executive compensation to firm performance D) places a limit on the amount of funds that managers can spend. 4. Which of the following is an example of direct foreign investment? A) exporting to a country. B) establishing licensing arrangements in a country C) purchasing existing companies in a country D) investing directly (without brokers) in foreign stocks 5. the home countrys current account balance, other things equal. A high growth in the home income level relative to other countries would equal 6. A high home inflation rate relative to other countries would the home country's current account balance, other things A) increase; increase B) increase; decrease C) decrease; decrease D) decrease: increase