Impact of Changes in the Components of Sales on Sales Growth Sustainability
Changes in volume and prices primarily propel sales growth for a multinational corporation. Besides that, exchange rate changes between the reporting currency and the currency in which sales are made also drive sales growth. Reasonably, growth in sales that comes…
Impact of Multinational Operations on a Company’s Effective Tax Rate
Accounting standards require companies to explain the relationship between tax expense and accounting profit. This explanation is presented as a reconciliation between the average effective tax rate and the applicable statutory rate. The effective tax rate is computed as the…
