Managers Perform Controlling Activities

question 68

Multiple Choice

Managers perform controlling activities

• A)in real time as operations are occurring.
• B)with a frequency such as once a day or once an hour.
• C)both in real time as operations are occurring and with a frequency such as once a day or once an hour.
• D)neither in real time as operations are occurring nor a frequency such as once a day or once an hour.

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Definitions:

Greenmail

To avoid an unfriendly acquisition, a firm may buy shares owned by a potential acquirer at a price above the market price of the stock. The above-market payment is greenmail.

Horizontal Merger

A business consolidation that occurs between firms operating in the same industry, often aiming to increase market share.

Conglomerate Merger

A union between firms that are involved in totally unrelated business activities.

Vertical Merger

A merger between companies in the same industry but at different stages of the production process, aiming at creating efficiencies or reducing costs.