The Hubris Motive for M&As Refers to Which of the Following

question 90

Multiple Choice

The hubris motive for M&As refers to which of the following?

• A) Explains why mergers may happen even if the current market value of the target firm reflects its true economic value
• B) The ratio of the market value of the acquiring firm's stock exceeds the replacement cost of its assets
• C) Agency problems
• D) Market power
• E) The Q ratio

---

Definitions:

Online Portal

A website or platform that offers a broad array of resources and services, such as email, forums, search engines, and online shopping.

U.S. Government Information

Data, facts, and other resources produced or maintained by agencies of the United States federal government.

Www.Usa.Gov

The official web portal of the United States federal government, providing access to government information and services.

Primary Sources

Primary Sources are original documents or firsthand accounts that are direct evidence or records of a historical event, person, or work of literature.