By Satisfying Which of the Following Conditions Can Shareholders Prevent

question 17

Multiple Choice

By satisfying which of the following conditions can shareholders prevent management driven acquisitions?

• A)If shareholders could determine which acquisitions will lead to increased profits and which will not
• B)If shareholders could direct management to undertake only those acquisitions that will increase shareholder value
• C)If shareholders could provide management with the appropriate steps to conduct when performing acquisitions
• D)a & b
• E)None of the above

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Definitions:

Accounts Receivable Turnover

A ratio that measures how many times a business can turn its accounts receivable into cash during a period.

Financial Statements

Reports that provide an overview of a company's financial condition, including balance sheet, income statement, and cash flow statement.

Common-Size Form

A financial statement analysis tool that expresses each item in a financial statement as a percentage of a base item, facilitating comparison across different periods or companies.

Dun & Bradstreet

A leading global business analytics company that provides commercial data, analytics, and insights for businesses.