Which of the Following Statements Is FALSE

question 47

Multiple Choice

Which of the following statements is FALSE?

• A)All else being equal,larger firms,because they are more diversified,have an increased probability of bankruptcy.
• B)To justify a takeover based on operating losses,management would have to argue that the tax savings are over and above what the firm would save using carryback and carryforward provisions.
• C)It is possible to combine two companies with the result that the earnings per share of the merged company exceed the premerger earnings per share of either company,even when the merger itself creates no economic value.
• D)When an acquirer buys a private target,it provides the target's owners with a way to reduce their risk exposure by cashing out their investment in the private target and reinvesting in a diversified portfolio.

Understand the concept of the "primacy effect" and its impact on first impressions.

Recognize the importance of appropriate dress and self-presentation in professional settings.

Comprehend the significance of multicultural awareness and sensitivity in the workplace.

Identify the components of a professional presence.

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Definitions:

Marginal Cost

The investment required to manufacture an extra unit of a good or service.

Mineral Water

Water that contains minerals or other dissolved substances that alter its taste or give it therapeutic value, usually obtained from wells or springs.

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity demanded by consumers.

Marginal Cost

The added cost of producing one additional unit of a product or service.