The Difference Between a Merger and an Acquisition Is That

question 53

Multiple Choice

The difference between a merger and an acquisition is that

• A)a merger involves one company purchasing the assets of another company with cash, whereas an acquisition involves a company acquiring another company by buying all of the shares of its common stock.
• B)a merger is the combining of two or more companies into a single corporate entity, whereas an acquisition involves one company (the acquirer)purchasing and absorbing the operations of another company (the acquired).
• C)in a merger, the companies retain their original names, whereas in an acquisition the name of the company being acquired is changed to be the name of the acquiring company.
• D)a merger is a combination of three or more companies, whereas an acquisition is a pooling of interests of just two companies.
• E)a merger involves two or more companies deciding to adopt the same strategy, whereas an acquisition involves one company taking over the strategy-making function of another company.

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Definitions:

Air Suspension

Air suspension is a type of vehicle suspension powered by an electric or engine-driven air pump or compressor, which inflates flexible bellows to adjust the car's level, reduce the effect of shock forces, and improve ride quality.

Regulated Pressure

The control or maintenance of pressure levels within specific limits in a system, achieved through the use of valves, regulators, or other controlling devices.

Axle Saddle

is a part of a vehicle's chassis that supports the axle, allowing it to bear the weight of the vehicle as well as enabling smooth movement and load distribution across the axle.

Multi-leaf Spring Pack

A suspension component consisting of several layers of metal springs stacked together to absorb impact.