A Popular Financial Strategy in Which a Company Is Acquired

question 55

Multiple Choice

A popular financial strategy in which a company is acquired in a transaction financed largely by debt ∙ eventually paid off with money generated from the acquired company's operations or by sale of its assets is

• A)illegal in most countries.
• B)a good way to build a core competency.
• C)an application of the capital asset pricing model.
• D)the leveraged buyout.
• E)an example of internal financing.

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