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Self-Assessment Quizzes
Chapter 1

1 .       The authors describe the ownership of assets and enterprises in foreign countries as the ___________ of globalization for a firm. 

2 .       A shared investment in new plant and equipment in a foreign country could be defined as 

3 .       In the Japanese/European model of corporate governance, the primary goal of management is to 

4 .       Corporate wealth maximization, also known as the stakeholder capitalism model, holds that total risk (operational and financial) is more important than just systematic risk. 


5 .       Under the Shareholder Wealth Maximization Goal of Corporate Governance, poor firm performance may well result in all but which of the following? 

6 .       The Anglo/American equity markets are dominated by the “one-vote-one-share” rule. 


7 .       Changes in reported owners’ equity in consolidated financial statements caused by a change in exchange rates may be defined as  

8 .       The impact of settling outstanding obligations entered into before change in exchange rates but to be settled after change in exchange rates may be defined as 

9 .       The prices charged on sales of goods and services between units of a firm globally are known as 

10 .       With corporate wealth maximization as the manager’s goal, capital may be termed  

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