In General,in Negotiations and Acquisitions of a Business,the Buyer Seeks

question 8

Multiple Choice

In general,in negotiations and acquisitions of a business,the buyer seeks to:

• A)get the business at the lowest price possible.
• B)negotiate favorable payment terms,preferably over time.
• C)Both A and B
• D)None of the above

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Definitions:

Operating Asset

An Operating Asset is an asset used by a company in its day-to-day operations to generate revenue, such as machinery, buildings, or equipment.

Components

Parts or elements that make up a larger system or compound.

Commercial Substance

A transaction has commercial substance if it significantly changes the company's future cash flows.

Depreciated

A reduction in the value of an asset over time, due in particular to wear and tear.