The Difference Between a Merger and an Acquisition Is

Multiple Choice

The difference between a merger and an acquisition is:

A) A merger does not combine the assets and liabilities of firms,whereas an acquisition combines assets and liabilities.
B) A merger combines the assets of the two firms,but each company continues to assume its own liabilities,whereas an acquisition is a total buyout of one firm by another.
C) A merger is the joining of resources of two companies,whereas an acquisition is a buyout of one firm by the other.The new company concerns itself with merging of resources.
D) A merger is always something smaller tagging onto something larger,like a merging lane onto an interstate,whereas an acquisition is two firms that are relatively the same size agreeing to continue as one - more like two major interstates that come together and travel as one for several miles.