Which of the Following Is NOT a Reason Given for International

question 58

Multiple Choice

Which of the following is NOT a reason given for international mergers and acquisitions?

• A) gaining access to strategic proprietary assets
• B) gaining market power and dominance
• C) diversifying and spreading their risks wider
• D) All of the above are commonly cited reasons for international mergers and acquisitions.

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Definitions:

Common Stock

A type of equity ownership in a corporation, representing a claim on part of the company's profits and assets.

Market Price

The current price at which an asset or service can be bought or sold in a given market.

Incremental Net Cash Flows

The difference in a company's cash flows when considering a proposed change, such as an investment or project.

Overhead Costs

Expenses not directly tied to product production, such as rent, utilities, and administrative salaries, essential for running a business.