Which of the Following Situations Best Describes a Business Combination

question 44

Multiple Choice

Which of the following situations best describes a business combination to be accounted for as a statutory merger?

• A)Both companies in a combination continue to operate as separate,but related,legal entities.
• B)Only one of the combining companies survives and the other loses its separate identity.
• C)Two companies combine to form a new third company,and the original two companies are dissolved.
• D)One company transfers assets to another company it has created.

---

Definitions:

Social Loafing

The occurrence in which people put in less effort towards achieving an objective when they are part of a group than when they are working by themselves.

Group Presentation

A collaborative effort where multiple individuals work together to deliver a presentation on a specific topic to an audience.

College Students

Individuals enrolled in an institution of higher learning with the aim of achieving a degree, certificate, or diploma.

Reference Groups

Groups that individuals compare themselves to for self-evaluation and guidance in social behavior.