Mike Owns Eight Bars in Delaware,Maryland and Pennsylvania

question 66

Multiple Choice

Mike owns eight bars in Delaware,Maryland and Pennsylvania.He has decided to grow the business by having a presence in the Midwest.If he acquired a chain of bars in Kansas and Missouri,what type of merger has occurred?

• A) a conglomerate merger
• B) a vertical merger
• C) a product extension market merger
• D) a geographic market extension merger
• E) a regional expansion merger

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Definitions:

Manufacturing Costs

The total expenses involved in making a product, including materials, labor, and overhead costs.

Lot Ticket

A document prepared to show the movement of materials or products between departments. Also called move ticket.

Material Requisition

A document used to order material or supplies from the storeroom that provides the basis for charging material into production.

Raw Materials

The basic materials from which products are manufactured or made, typically used in the early stages of the production process.