Claude Holds a Large Number of Shares of Bayou Beauty

question 9

Multiple Choice

Claude holds a large number of shares of Bayou Beauty, a regional brewing company that is considered a likely takeover target by a major international brewer.It would probably be in Claude's financial interest if Bayou Beauty's owners:

• A) resisted selling at any price.
• B) sold the company to the larger brewer.
• C) designed a poison pill to discourage a takeover.
• D) looked for smaller brewers to acquire instead of selling to the larger brewer.

---

Definitions:

Nobel Prize

Prestigious international awards given annually in several categories including Peace, Literature, and various sciences, for outstanding contributions in their fields.

Lobotomy Procedure

A medical procedure that entails cutting the connections in the prefrontal region of the brain, once commonly performed to manage mental disorders.

Egas Moniz

A Portuguese neurologist best known for pioneering the prefrontal lobotomy as a treatment for mental disorders, and awarded the Nobel Prize in Physiology or Medicine in 1949.

Mental Asylum

Historically, an institution providing care and treatment to individuals with mental illness, now more commonly referred to as psychiatric hospitals.