Which of the Following Statements Is Not a Reason a Company

question 42

Multiple Choice

Which of the following statements is not a reason a company may purchase another company's stock?

• A) earning a return on excess cash
• B) sustain the other company's stock price
• C) gaining control of another company's operations
• D) developing or maintaining business relationships

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Definitions:

Total Value

The combined worth of all the components of an asset or company, often considered in financial terms.

Compensation Policies

Guidelines and practices established by an organization to determine how employees are compensated, including wages, salaries, benefits, and bonuses.

Internally Fair

Refers to practices and policies within an organization that are perceived by employees as just, equitable, and consistent across all members.

Job Evaluation

The process of analyzing and assessing various aspects of a job to determine its relative value or complexity within an organization.