Multiple Choice
Which one of the following is not a reasonable option for deploying a diversified company's financial resources?
A) Making acquisitions to establish positions in new businesses or to complement existing businesses
B) Concentrating most of a company's financial resources in cash cow businesses and allocating little or no additional resources to cash hog businesses until they show enough strength to generate positive cash flows
C) Funding long-range R&D ventures aimed at opening market opportunities in new or existing businesses
D) Paying down existing debt, increasing dividends, or repurchasing shares of the company's stock
E) Investing in ways to strengthen or grow existing businesses
Correct Answer:

Verified
Correct Answer:
Verified
Q25: In diversified companies with unrelated businesses,the strategic
Q35: To create value for shareholders via diversification,
Q39: A big advantage of related diversification is
Q61: An acquisition premium is the amount by
Q119: The procedure for evaluating the pluses and
Q122: The option of sticking with the current
Q123: Which of the following is not generally
Q125: Assessments of how a diversified company's subsidiaries
Q126: Which of the following is not one
Q128: Which of the following is not likely