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The Continuing Popularity of Mergers and Acquisitions Among Companies Despite

Question 5

Multiple Choice

The continuing popularity of mergers and acquisitions among companies despite the lack of empirical evidence of their benefits suggests:


A) Many mergers and acquisitions are motivated by growth rather than profitability
B) Mergers and acquisitions by the leading firms in an industry promotes imitation by other firms in the industry
C) Both (a) and (b)
D) Both (a) and (b) plus the fact that most investment analysts view takeovers as a sign of a dynamically-managed company.

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