An Example of a Difference in Types of Business Combination

question 81

Multiple Choice

An example of a difference in types of business combination is:

• A) A statutory merger can only be effected by an asset acquisition while a statutory consolidation can only be effected by a capital stock acquisition.
• B) A statutory merger can only be effected by a capital stock acquisition while a statutory consolidation can only be effected by an asset acquisition.
• C) A statutory merger requires dissolution of the acquired company while a statutory consolidation does not require dissolution.
• D) A statutory consolidation requires dissolution of the acquired company while a statutory merger does not require dissolution.
• E) Both a statutory merger and a statutory consolidation can only be effected by an asset acquisition but only a statutory consolidation requires dissolution of the acquired company.

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