Which of the Following Statements Is FALSE

question 37

Multiple Choice

Which of the following statements is FALSE?

• A)There are two primary mechanisms by which ownership and control of a public corporation can change: Either another corporation or group of individuals can acquire the target firm,or the target firm can merge with another firm.
• B)Merger activity is greater during economic contractions than during expansions.
• C)Mergers and acquisitions are part of what is often referred to as "the market for corporate control."
• D)The takeover market is also characterized by merger waves-peaks of heavy activity followed by quiet troughs of few transactions.

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Definitions:

Maximize Profits

The goal of firms to achieve the highest possible profit by adjusting production and pricing strategies.

Marginal Product Data

Information related to the additional output generated by employing one more unit of a particular input.

Profit-Maximizing

The process or strategy of adjusting output to achieve the highest possible profit, taking into account revenue and costs.

Competitive Market

is a market structure characterized by numerous buyers and sellers, free entry and exit, and products that are close substitutes, leading to price competition.