Suppose That the Market Price of Company a Is $50

question 65

Multiple Choice

Suppose that the market price of Company A is $50 per share and that of Company B is
$20) If A offers half a share of common stock for each share of B, the ratio of exchange of market prices would be:

• A) 0.8
• B) 1.25
• C) 0.4
• D) none of the above ratio = 25/20 = 1.25

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Definitions:

Interpersonal Functions

The roles that interactions and communications play in maintaining relationships and fulfilling social needs among individuals.

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Learned predispositions to respond in a consistently favorable or unfavorable manner with respect to a given object, person, or situation.

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Beliefs are convictions or acceptances that something exists or is true, especially without proof.

Beliefs

Cognitive content held as true by an individual or group, often without empirical evidence.