Which of the Following Statements Is False

question 40

Multiple Choice

Which of the following statements is false?

• A) Horizontal integration entails the merger of a firm and its supplier or a firm and its customer.
• B) Like insurance, hedging involves contracts or transactions that provide the firm with cash flows that offset its losses from price changes.
• C) For many firms, changes in the market prices of the raw materials they use and the goods they produce may be the most important source of risk to their profitability.
• D) Because an increase in the price of the commodity raises the firm's costs and the supplier's revenues, these firms can offset their risks by merging.

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Definitions:

Postural Hypotension

Postural hypotension is a form of low blood pressure that happens when standing up from sitting or lying down, causing lightheadedness or dizziness.

Pursed-Lip Breathing

A breathing technique designed to make each breath more efficient by prolonging exhalation and reducing the number of breaths taken.

Monosyllables

Words consisting of only one syllable that are often used to express simple or direct responses.

Nonjudgmental Acceptance

The practice of receiving and supporting others without casting judgment based on personal biases, recognizing and respecting individual differences.