The Purpose of a "Fairness" Opinion from an Investment Bank

question 6

Multiple Choice

The purpose of a "fairness" opinion from an investment bank is

• A) To evaluate for the target's board of directors the appropriateness of a takeover offer
• B) To satisfy Securities and Exchange Commission filing requirements
• C) To support the buyer's negotiation effort
• D) To assist acquiring management in the evaluation of takeover targets
• E) A and B

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Definitions:

Bacteria

Microscopic single-celled organisms that can be found in a variety of environments, some of which can cause diseases.

Onychomycosis

A fungal infection of the nail that causes discoloration, thickening, and separation from the nail bed.

Inflammation

The body's immune response to infection or injury, characterized by redness, heat, swelling, and pain.

Ecchymosis

A discoloration of the skin resulting from bleeding underneath, typically caused by bruising.