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Microsoft Offered in 2016 to Buy LinkedIn for 26

question 15

Multiple Choice

Microsoft offered in 2016 to buy LinkedIn for 26.2 billion USD which was 50 percent higher than the value for LinkedIn the day before.This high premium offer was necessary for Microsoft to complete ________ initiative.


Definitions:

Sacrifice Ratio

The sacrifice ratio measures the cost of reducing inflation in terms of the percentage of GDP lost per each percentage point decrease in inflation.

Volcker Disinflation

A period during the early 1980s when the Federal Reserve, led by Chairman Paul Volcker, raised interest rates to historically high levels in order to combat high inflation.

Estimates

Approximations or educated guesses based on current trends and data.

Expected Inflation

The anticipated rate at which the general level of prices for goods and services will rise over a period of time, affecting the purchasing power of a currency.

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