A Poison Pill Is Generally Used in Hostile Takeovers to Ensure

question 233

True/False

A poison pill is generally used in hostile takeovers to ensure that outsiders can't get any shares of stock.

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Definitions:

Operating Cost

Expenses associated with the day-to-day functions of a business or organization, excluding costs related to production or acquisition of goods.

Required Rate of Return

The minimum annual percentage earned by an investment that will induce individuals or companies to put money into a particular venture or investment.

Operating Cash Flow

A measure of the cash generated by a company's regular operational activities over a specific period.

Profit Margin

A financial metric that measures the percentage of revenue that exceeds the cost of goods sold, indicating how much profit a company makes on sales.