In General, the Greatest Economies of Scale Are Possible with ____

question 33

Multiple Choice

In general, the greatest economies of scale are possible with ____ mergers.

• A) conglomerate
• B) vertical
• C) horizontal
• D) integrated

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Definitions:

Interest Expense

The cost incurred by an entity for borrowed funds, often represented as an annual percentage rate of the principal.

Current Ratio

The current ratio is a liquidity metric that measures a company's ability to pay off its short-term liabilities with its short-term assets.

Note Receivable

A written promise that amounts will be received by the person holding the note, usually involving interest.

Return Ratio

A financial metric used to measure the efficiency or profitability of an investment, calculated by dividing the gain (or loss) from the investment by its cost.