Multiple Choice
The use of high levels of debt in acquisitions has contributed to:
A) the increase in above-average returns earned by acquiring firms.
B) an increased risk of bankruptcy for acquiring firms.
C) the confidence of the stock market in firms issuing junk bonds.
D) an increase in investments that have long-term payoffs.
Correct Answer:

Verified
Correct Answer:
Verified
Q53: Entering new markets through acquisitions of companies
Q54: In the final analysis, firms use merger
Q55: Cross-border acquisitions are primarily made to:<br>A) reshape
Q56: Which of the following is a reason
Q57: Acquisitions can take a lot of time
Q59: Research has shown that the more _,
Q60: Junk bonds are a financing option through
Q61: Currently, the rationale for making an acquisition
Q62: A leveraged buyout refers to a(n):<br>A) firm
Q63: Most acquisitions that are designed to achieve