If a U.S.parent is setting up a French subsidiary,and funds from the subsidiary will be periodically sent to the parent,the ideal situation from the parent's perspective is a ____ after the subsidiary is established.
A) strengthening euro
B) stable euro
C) weak euro
D) B and C are both ideal.

Question

Quizplus · Accepted Answer

A strengthening euro would mean that the parent company will receive more dollars for every euro sent from the subsidiary, resulting in higher profits.

If a USparent Is Setting Up a French Subsidiary,and Funds from the from the Subsidiary