Public Enterprises Generally Cannot Diversify into Unrelated Businesses or Merge

question 63

True/False

Public enterprises generally cannot diversify into unrelated businesses or merge with other firms.

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Definitions:

Disgorgement of Profits

A legal remedy requiring a party to surrender profits gained through wrongful conduct to prevent unjust enrichment.

Fraudulent Sale

A transaction in which deception is used to gain a dishonest advantage, typically involving the misrepresentation of the value or condition of an item or service.

Executive Branch

The branch of government responsible for implementing and enforcing the laws passed by the legislative body, typically headed by the president or prime minister.

SEC

The U.S. Securities and Exchange Commission, responsible for regulating the stock market and protecting investors by ensuring fairness and transparency.