Which of the Following Statements Is FALSE

question 4

Multiple Choice

Which of the following statements is FALSE?

• A)Any acquirer shares received in full or partial exchange for target shares triggers an immediate tax liability for target shareholders.
• B)In a friendly takeover,the target board of directors supports the merger,negotiates with potential acquirers,and agrees on a price that is ultimately put to a shareholder vote.
• C)How the acquirer pays for the target affects the taxes of both the target shareholders and the combined firm.
• D)If the acquirer purchases the target assets directly (rather than the target stock),then it can step up the book value of the target's assets to the purchase price.

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Definitions:

Environmental Factors

External elements including climate, land, water, vegetation, and pollution that impact living organisms and ecosystems.

Biological Determinism

The belief that human behavior and social phenomena are determined by biological factors, often minimizing the role of environmental and social influences.

Positivism

A theoretical approach that considers all understanding to be based on science.

Criminal Behaviour

Conducts that violate legal statutes and are subject to sanctions by state authority.