All of the Following Are True of Poison Pills Except

question 111

Multiple Choice

All of the following are true of poison pills except for

• A) They are a new class of security
• B) Generally prevent takeover attempts from being successful
• C) Enable target shareholders to buy additional shares in the new company if an unwanted shareholder's ownership exceeds a specific percentage of the target's stock
• D) Delays the completion of a takeover attempt
• E) May be removed by the target's board if an attractive bid is received from a so-called "white knight."

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Definitions:

Morphogen

Substance that regulates development; secreted by one cell type and affects other cells in a concentration-dependent manner.

Concentration-dependent

A term used to describe processes or reactions that vary according to the concentration of a particular substance involved.

Development

Process by which the first cell of a multicelled organism gives rise to an adult.

Gastrulation

Animal developmental process by which cell movements produce a three-layered gastrula.