Examveda
Examveda

The issues in international capital budgeting include
1. Exchange rate risk
2. Political risk
3. Geographical risk
4. Parent vs project cash flow

A. Both 1 and 2

B. Both 2 and 4

C. 1, 2 and 4

D. 1, 2 and 3

Answer: Option C


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Match List-I with List-II and select the correct answer:

List-I List-II
a. Modigliani Miller approach 1. Commercial papers
b. Net operating income approach 2. Working capital management
c. Short-term money market instrument 3. Capital structure
d. Factoring 4. Arbitrage

A. a-4, b-3, c-1, d-2

B. a-3, b-4, c-1, d-2

C. a-2, b-3, c-1, d-4

D. a-3, b-2, c-4, d-1