The Difference Between a Merger and an Acquisition Relates to

question 6

Multiple Choice

The difference between a merger and an acquisition relates to

• A)strategy and competitive advantage.
• B)the presence of available resources and competitive capabilities.
• C)whether the end result is related to horizontal or vertical scope.
• D)creating a more cost-efficient operation out of the combined companies.
• E)the details of ownership, management control, and the financial arrangements.

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Definitions:

Freight Charges

Fees associated with the transport of goods from one place to another, paid by the sender or receiver.

Recent Goods

Recent goods refer to merchandise or products that have been newly received or produced, often highlighted for their novelty or relevance to current trends.

Perpetual

An inventory system in which the inventory records are updated continuously to reflect purchases, sales, and inventory on hand in real time.

LIFO Method

An inventory costing method where the last items of inventory purchased are the first ones sold, used to calculate cost of goods sold and ending inventory.