Which of the Following Practices Is Not Prohibited by the Clayton

question 114

Multiple Choice

Which of the following practices is not prohibited by the Clayton Act?

• A)merger through the acquisition of assets, which substantially lessens competition
• B)price discrimination that substantially lessens competition
• C)tying contracts that substantially lessen competition
• D)exclusive dealing that substantially lessens competition
• E)interlocking directorates that substantially lessen competition

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Definitions:

Current Assets

Current assets refer to all assets that a company expects to convert into cash or use up within one year or one operating cycle, whichever is longer, including cash, inventory, and accounts receivables.

Corporate Form

The organizational structure of businesses incorporated under laws that treat the business as a legal person separate from its owners.

Separate Legal Entity

A legal concept that separates the identity of a corporation or limited liability company from its shareholders or owners, allowing it to own property, sue or be sued, enter contracts, and conduct business in its own name.

Personal Liability

The legal responsibility of an individual to repay debt or fulfill obligations from personal assets.