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multilateral netting reducing risks and positioning the firm so it can benefit from opportunities paying dividends, royalties, fees to parent, loans, sales among subsidiaries and parent fronting loan transfer pricing The Purpose or Objective Explanation of why funds are moved. A way to reduce risk of local government control of remittances in a subsidiary, especially in a developing country. A way to move funds from a high tax, weak currency environment in order to reduce tax exposure. An approach to cash management that streamlines the process and creates FX savings. Explanation of the underlying purpose of cash flow management. The ActivityCash flow management is an important part of international finance. Here we explore cash flow management in action.

Drag the information on the left  to the matching purpose or objective found on the chart.

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Pupose or Objective Activity
1 Paying dividends, royalties, fees to parent, loans, sales among subsidiaries and parent.
2 Fronting loan
3 Transfer Pricing
4 Multilateral netting.
5 Reducing risks and positioning the firm so it can benefit from opportunities
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