Which of the Following Statements Is Incorrect Regarding Acquisitions

Multiple Choice

Which of the following statements is incorrect regarding acquisitions?

A) In an acquisition, the surviving firm is called the acquirer.
B) An acquisition is the outright purchase of one firm by another.
C) In most cases, a firm acquires a competitor or a company that has a product line or distinctive competency that it needs.
D) If a firm decides to grow through acquisitions, it is extremely important for it to exercise extreme care in finding acquisition candidates.
E) Many firms have found that the process of assimilating another company into their current operation was easier than they thought it would be.