A Synergistic Merger Is Made for Reasons of Combining Two

question 38

True/False

A synergistic merger is made for reasons of combining two failing firms in the hopes that the combined entity will not fail.

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Definitions:

Appreciated

Refers to an increase in value or price, particularly in the context of currency, where it indicates a rise in value relative to other currencies.

Depreciated

A reduction in the value of an asset over time, often due to wear and tear or obsolescence.

Appreciates

Refers to an increase in the value of an asset or currency against other currencies or assets.

Depreciates

A decline in the value of an asset over time due to wear and tear, obsolescence, or market conditions.