Which One of the Following Statements Is Correct

question 109

Multiple Choice

Which one of the following statements is correct?

• A) A firm must realize some synergy as a result of a merger if the earnings per share of the acquiring firm increase.
• B) Any diversification achieved through a merger is valued by investors.
• C) Any increase in earnings per share due to a merger provides financial reasoning for an increase in the stock price per share.
• D) Firms with surplus cash need to justify an acquisition as having a business purpose other than the avoidance of a dividend distribution.
• E) Diversification is one of the greatest benefits derived from an acquisition.

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Definitions:

Robots

Machines designed to perform tasks automatically, often with AI to mimic human behaviors or decision-making processes.

Nervous System Function

The collective tasks performed by the nervous system, including controlling and coordinating all body functions, sensing and responding to stimuli, and transmitting signals between different parts of the body.

Epigenetic Mechanisms

Biological processes that alter gene expression without changing the DNA sequence, influencing organism development and behavior.

Gene Expression

Gene expression is the process by which information from a gene is used to synthesize a functional gene product, often a protein, which can affect the characteristics of a cell or an organism.