Suppose the Managers of a Company Have Driven the Stock

question 22

Multiple Choice

Suppose the managers of a company have driven the stock price down because they have spent the investors' money on lavish perquisites like golf club memberships.

• A)This situation may prompt a corporate raider to buy up the shares of the firm in a hostile takeover.
• B)If the hostile takeover is successful,the managers will probably lose their jobs in the ensuing restructuring.
• C)If the restructuring is successful,the corporate raider can sell his shares at a profit.
• D)all of the options

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Definitions:

Ligaments

Strong, fibrous tissues that connect bones to other bones, providing stability and support to joints.

Tendons

Tough, flexible bands of fibrous tissue that connect muscles to bones, transmitting the force necessary to move the bone.

Muscles

Tissues in the body that have the ability to contract, enabling movement.

Identifiable Cause

A specific, known reason or factor that leads to a condition or event.