Question 1

Which of the following activities are commonly associated with takeover.

Accepted Answer

A)  The acquisition of assets
B)  Management buyout
C)  Leveraged buyout
D)  All the above D

Question 2

----------- forms one economic unit from two or more units is called ----------

Accepted Answer

A)  Joint Ventures
B)  Merger
C)  Corporate control
D)  Divestiture B

Question 3

--------------does not result in a expansion of the firm.

Accepted Answer

A)  Joint venture
B)  Merger
C)  Divestiture
D)  Acquisition C

Question 4

----------- in his book of 'Stategic Management 'has identified the strategy alternatives into four board strategies.

Accepted Answer

A)  William F. Glueck
B)  Henry Fayol
C)  Peter Drucker
D)  James Stonner

Question 5

Managerial motive for merger and amalgamation do not related to -------------

Accepted Answer

A)  Dividend
B)  Power
C)  Job security
D)  Emoluments

Question 6

The ____________ process must involve a significant change in the management culture of the acquired business.

Accepted Answer

A)  Human Resource Management
B)  Post-Merger Integration
C)  General management integration
D)  Product and service development.

Question 7

-------------is referred as 'as going private transaction 'initiate by the incumbent management.

Accepted Answer

A)  Management buyout
B)  Leveraged cash out
C)  Management Buy-in
D)  Leveraged recapitalisation

Question 8

__________ are sought with an aim to trying to control the products and services feed by the involved business.

Accepted Answer

A)  Post-Merger Integration
B)  Product and service development
C)  Merger and Acquisition
D)  Financial market value

Question 9

The three broad approaches to company valuation do not include ------------.

Accepted Answer

A)  Stock market valuation
B)  Assets valuation
C)  Inventory valuation
D)  Future earnings valuation

Question 10

------------- does not involve a change in the ownership structure.

Accepted Answer

A)  Proxy contest
B)  Share repurchase
C)  LBO
D)  Going Private

Question 11

Management involves the ___________ of resources.

Accepted Answer

A)  Utilisation
B)  Analysis
C)  Culture
D)  Net Profit

Question 12

Merger or takeover may be provided for as a part of insolvency resulation plan under the Insolvency and Bankruptcy Code, -----------

Accepted Answer

A)  2000
B)  2012
C)  2014
D)  2016

Question 13

Justification for merger and amalgamation do not include ------------

Accepted Answer

A)  to achieve synergy
B)  to enter into new market
C)  to increase risk
D)  to gain economies of scale

Question 14

One of the most basic reason for a merger is --------

Accepted Answer

A)  Enhance revenue
B)  Increase competition
C)  Cost reduction
D)  Employee benefits

Exam 4: Mergers and Acquisitions: Part C

Which of the following activities are commonly associated with takeover.