Which of the Following Is NOT a Motive for Selling

question 63

Multiple Choice

Which of the following is NOT a motive for selling by the stockholders of the acquired company?

• A)The opportunity to diversify
• B)Gaining a tax advantage
• C)An attractive price
• D)Avoiding bias against smaller businesses

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Definitions:

Startup Costs

The initial expenses required to start a new business, including costs for legal services, marketing, equipment, and rent.

Unexpected Expenses

Costs that are not planned for or anticipated, often requiring immediate financial resources.

10 Percent

A term commonly used to represent a portion or fraction, often used in financial contexts to denote a percentage of an investment, profit, or other monetary values.

Product Life Cycle

The series of stages a product goes through from introduction to growth, maturity, and decline.