A Merger Occurs When One Company Uses Its Capital Resources

question 56

True/False

A merger occurs when one company uses its capital resources to purchase another company.

---

Definitions:

Mid-ocean Ridge

An underwater mountain range, formed by plate tectonics, that stretches across the ocean floor, marking sites where new oceanic crust is created by volcanic activity.

Linear Island Chain

A sequence of islands that form in a straight line, often over a volcanic hot spot, as a tectonic plate moves over it.

Fracture Zone

An area of the ocean floor where tectonic plates have fractured, leading to seismic activity and the formation of geological structures.

Oceanic Trench

Deep, narrow depressions in the ocean floor, formed by subduction zones where one tectonic plate is forced under another.