A Friendly Merger Transaction ________

question 104

Multiple Choice

A friendly merger transaction ________.

• A) is a transaction in which merger is completed by forceful acquisition of the target's shares from the secondary market
• B) requires a public announcement for its plan of acquisition
• C) can be consummated through an exchange of the acquirer's stock and cash
• D) can only be completed by purchasing all the outstanding bonds of the target firm

---

Definitions:

Control Of The Firm

The concept referring to who holds significant decision-making power in a company, usually the board of directors or shareholders.

Dual

Pertaining to or involving two parts, elements, or aspects.

Stock Classes

Different types of shares that a company can issue, each of which might have specific rights, privileges, or voting powers.

Capital Gains

The financial gain achieved when the selling price of an asset or investment surpasses its original buying price.