Which of the Following Is a Reason Why Firms Often

question 64

Multiple Choice

Which of the following is a reason why firms often overpay for the assets of an acquired firm?

• A)studies supporting the rise of failed companies post acquisitions
• B)evidence of high management turnover post acquisitions
• C)the success rate of acquisitions exceeding that of failures
• D)interest of more than one party in acquiring a particular firm
• E)inevitable clash between cultures of acquiring and acquired firms

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Definitions:

Incarceration

The state of being confined in prison as a punishment for crimes or as a pre-trial measure.

Intelligence

The capacity for learning, understanding, and applying knowledge, as well as the ability to engage in abstract thinking and problem-solving.

Culture

The shared values, beliefs, behaviors, and artifacts that characterize groups of people, shaping their worldview and lifestyle.

Anorexia Nervosa

A psychological and eating disorder characterized by an extremely low body weight, a devastating fear of gaining weight, and a distorted perception of body weight and shape.