If a Group of Stockholders or Management Obtain All the Stock

question 37

Multiple Choice

If a group of stockholders or management obtain all the stock of a previously publicly traded firm for themselves, this is referred to as

• A) capitalizing.
• B) stock turning.
• C) turning the equity.
• D) taking the firm private.

---

Definitions:

Consensus

A general agreement among members of a group or the process of reaching such an agreement, often used in decision-making contexts.

Distinctiveness

The characteristic of standing out as distinct or unparalleled when contrasted with others.

Consistency

Refers to the quality of being uniform, stable, and unchanging over time.

Internal Causes

are reasons or factors within an organization that lead to a particular outcome or effect, often related to its processes, structures, or people.