What Is a Form of Business Combination in Which a Company

question 8

Multiple Choice

What is a form of business combination in which a company purchases all or a controlling block of another company's common shares and the two companies become affiliated?

• A) Horizontal merger
• B) Vertical merger
• C) Conglomerate
• D) Holding company

Learn the effects of environmental factors on float management.

Understand the calculations involved in determining net float and the implications for cash management.

Understand methods to decrease a firm’s collection time.

Recognize the best cash management practices for firms with multiple offices and national customers.

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Definitions:

Withdraw Assets

The act of taking out assets, typically cash, from a business by its owner for personal use.

Partnership

A business structure in which two or more individuals manage and operate a business in accordance with the terms and objectives set out in a Partnership Agreement.

Articles of Partnership

A document that outlines the terms, conditions, and agreements among partners in a business partnership.

Salary Allowances

A fixed amount or stipend given over and above the basic salary for meeting specific requirements or expenses.