Question 61

Z is a multinational pharmaceuticals company with operations across Europe, America and Asia.
It is currently investigating the possibility of setting up a chemical and specialist production facility in South Americ a. This would be a multi $billion investment. What steps should Z take to manage the following risks in this long term venture.

Question 62

B is a company with a strong risk appetite. Which of the following are benefits of using the certainty equivalent method of capital investment appraisal in B's case?
  • Question 63

    Z plc has recently undertaken a SWOT analysis. The SWOT analysis identified two main threats to Z plc:
    * The threat that the currency of Z plc's main overseas competitor weakens compared to Z plc's home currency.
    * The threat that there will be a military coup which will overthrow the government in the country that Z plc purchases most of its raw materials from.
    Which TWO of the following categories of risk correspond most closely to the above threats?
  • Question 64

    Return on capital employed (ROCE) can be a useful measure of divisional performance. For which of the following types of company is ROCE likely to be most appropriate?
  • Question 65

    C is a large international supermarket chain. It has many thousands of suppliers and many thousands of potential suppliers competing for shelf space m its supermarkets.
    Which of the following provisions would be appropriate for C to include m its ethical code in relation to its suppliers?
    Select ALL that apply
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