Which of the Following Is Not a Reason for Merger

question 55

Multiple Choice

Which of the following is not a reason for merger and acquisition failures?

• A)The acquiring company pays a premium for the common stock of the target company.
• B)Top executives act in their best interests rather than those of the shareholders.
• C)The acquired company assets are poorly integrated into the acquiring company business lines.
• D)The acquisition leads to value creation.

---

Definitions:

Characteristics

Characteristics are distinguishing traits, qualities, or properties that identify and differentiate individuals, groups, or things.

Central Tendency

A statistical measure that identifies a single value as representative of an entire distribution of data, commonly using the mean, median, or mode.

Measures

Quantitative or qualitative tools used to assess, evaluate, or quantify variables of interest in research, testing, and evaluation.

Description

A detailed account or explanation of an object, person, or event.