A(n)_____ Is a Transaction in Which a Firm Gains Control

question 80

Multiple Choice

A(n) _____ is a transaction in which a firm gains control of another firm by purchasing its stock, exchanging the stock for its own, or, in the case of a private firm, paying the owners a purchase price.

• A)standstill agreement
• B)demerger
• C)strategic alliance
• D)merger
• E)acquisition

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Definitions:

Slope-intercept Form

A way of writing the equation of a straight line in the form y = mx + b, where m is the slope and b is the y-intercept.

Slope

A measure of the steepness or the inclination of a line, defined as the ratio of the vertical change to the horizontal change.

Sales Price

The amount for which a product is sold to the customer, excluding any discounts or taxes.

List Price

The suggested retail price of a product set by the manufacturer, before any discounts or promotions.