Which of the Following Is a Type of Merger in Which

question 74

Multiple Choice

Which of the following is a type of merger in which two firms that sell the same products in different market areas are combined?

• A) Vertical
• B) Conglomerate
• C) Product extension
• D) Market extension

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Definitions:

Tax-Deferred Plans

Investment accounts that allow taxes on the principal and/or earnings to be paid at a future date instead of the year the investment earns income.

Pension Plan

A retirement plan that requires an employer to make contributions into a pool of funds set aside for a worker's future benefit.

IRA Contribution

Money placed into an individual retirement account (IRA) that may qualify for tax deductions or other tax advantages.

AGI

Adjusted Gross Income; a determinant of tax liability calculated by adjusting gross income for certain allowable deductions.