The Expected Acquisition of a Firm Typically Results in ____

question 79

Multiple Choice

The expected acquisition of a firm typically results in ____ in the target's stock price.

• A)an increase
• B)a decrease
• C)no change
• D)None of these are correct.

---

Definitions:

Simple Interest

Simple interest is a method of calculating interest where the interest charge is based on the original principal amount and does not accumulate or compound over time.

Variable Interest Rate

An interest rate that can fluctuate over time, usually based on underlying economic indicators or indices.

Pay Off

To completely repay the outstanding balance of a loan or debt.

Simple Interest

An interest calculation method where the interest charge is based on the original principal amount of a loan or deposit and does not accumulate or compound.