Which of the Following Is NOT an Appropriate Reason for a Merger

question 24

Multiple Choice

Which of the following is NOT an appropriate reason for a merger or acquisition?

• A)Economies of scale that result from the merger.
• B)The replacement of an inefficient management team.
• C)To promote "agency problems."
• D)To reduce overlapping costs.

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Definitions:

Difference Threshold

The smallest amount of change in a stimulus that can be detected as different from the original stimulus.

Subliminal Threshold

The level below which a stimulus is not consciously detected but can still influence thoughts, feelings, or actions.

Stimulation

The action of arousing interest, excitement, or activity in someone or something.

Sensation

The process by which sensory receptors and the nervous system receive and represent stimuli from the environment.