____ is (are) not a determinant of translation exposure.
A) The MNC's degree of foreign involvement
B) The locations of foreign subsidiaries
C) The local (domestic) earnings of the MNC
D) The accounting methods used

Question

Quizplus · Accepted Answer

Translation exposure is related to the conversion of financial statements from foreign subsidiaries into the parent company's reporting currency. The local (domestic) earnings of the MNC do not directly affect this exposure as they are already in the reporting currency.

____ Is (Are) Not a Determinant of Translation Exposure