______ from the subsidiary to the parent are still the most important method of transferring funds in the MNC.
A) Parallel loans
B) Leading and laggng
C) Dividends
D) Credit rationing

Question

Quizplus · Accepted Answer

Dividends are the most common and important method of transferring funds from the subsidiary to the parent in an MNC. This is because dividends represent a portion of the subsidiary's earnings that are distributed to the parent company, thus providing a direct flow of funds from the subsidiary to the parent. Other methods such as parallel loans, leading and lagging, and credit rationing may also be used, but they do not represent the primary method of transferring funds.

______ from the Subsidiary to the Parent Are Still the Most