What Type of Security Is Used to Purchase a Target

question 53

Multiple Choice

What type of security is used to purchase a target company in a leveraged buy-out?

• A) common stock
• B) dividends
• C) debt
• D) retained earnings

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Definitions:

Enforce Policy

The act of implementing or executing a set of rules or guidelines designed to achieve a specific outcome.

Enforceable Contract

A legally valid contract that can be upheld or imposed in a court of law.

Minor Worker

An individual under the legal age of adulthood who is employed; typically subject to specific regulations regarding work types, hours, and conditions.

Enforceable

Pertaining to a contract or legal obligation, this term indicates that the agreement is legally valid and can be upheld in a court of law.