In a Merger The

question 86

Multiple Choice

In a merger the:

• A) Legal status of both the acquiring firm and the target firm is terminated.
• B) Acquiring firm retains its name and legal status.
• C) Acquiring firm acquires the assets but not the liabilities of the target firm.
• D) stockholders of the target firm have little, if any, say as to whether or not the merger
• E) Target firm continues to exist as a subsidiary of the acquiring firm.

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Definitions:

Variables

Elements or characteristics within a study that can vary and have different values among subjects.

Correlation Coefficient

A statistical measure that calculates the strength and direction of the relationship between two variables.

Linear Regression

A statistical method for modeling the relationship between a dependent variable and one or more independent variables by fitting a linear equation.

Independent Variable

A variable that is manipulated or changed in an experiment to test its effects on dependent variables.