Which of the Following Motives for Mergers Make Economic Sense

question 4

Multiple Choice

Which of the following motives for mergers make economic sense?

• A)To achieve economies of scale
• B)To reduce risk by diversification
• C)Merging to redeploy cash
• D)To increase earnings per share

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Definitions:

Distal Phalanx

The small bone at the tip of the fingers and toes, being furthest from the body.

Intermediate Cuneiform

A bone in the human foot located between the other two cuneiform bones and connects to the second metatarsal.

Lateral Cuneiform

One of the bones in the foot positioned within the tarsal region, contributing to foot structure and function.

Lateral Malleolus

The bony prominence on the outer side of the ankle, formed by the lower end of the fibula, involved in ankle stabilization.