A(n)_____ Is a Transaction in Which One Company Buys Another

question 19

Multiple Choice

A(n) _____ is a transaction in which one company buys another.

• A)acquisition
• B)merger
• C)takeover
• D)synergy

---

Definitions:

Fundamental Risk

The risk associated with inherent operational, financial, and market factors affecting an investment.

Managerial Overconfidence

Managerial Overconfidence describes a bias where managers overestimate their ability to generate positive outcomes, impacting decision-making and corporate strategy.

Breadth

A market indicator used in technical analysis that helps determine the breadth of market participation in a price move.

Support Level

A concept in technical analysis indicating a price level below which a security or stock seldom falls.