Which of the Following Is an Example of a Merger

question 63

Multiple Choice

Which of the following is an example of a merger undertaken in order to achieve gains from vertical integration?

• A)A car manufacturer acquires a car parts supplier.
• B)A breakfast cereal producer acquires another breakfast cereal producer and the combined firm is able to negotiate a reduced cost for the grain used in its cereal.
• C)A telecommunications firm acquires another telecommunications firm and the combined firm serves a large percentage of the market.
• D)An accounting firm acquires another accounting firm and the combined firm is able to eliminate duplication among administrative positions.
• E)A video game development firm acquires another video game development firm that specializes in designing games for a new gaming system.

Understand how to calculate the geometric average return of an investment.

Learn to calculate the capital gains yield on a stock.

Understand the calculation of geometric return for different periods.

Comprehend how to calculate the standard deviation of stock returns.

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Definitions:

Blood Circulation

The movement of blood throughout the body, facilitated by the heart, to transport oxygen, nutrients, and other substances to tissues and organs.

Steroidal Hormones

Steroidal hormones are a class of hormones that are synthesized from cholesterol and include steroids such as estrogen, testosterone, and cortisol, which play critical roles in body functions and development.

Inhibin

A hormone involved in the regulation of the reproductive system, notably in inhibiting the production of follicle-stimulating hormone.

Estrogen

A group of steroid hormones which promote the development and maintenance of female characteristics of the body.