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Mergers and Acquisitions

41.

Daimler-Benz's acquisition of Chrysler is an example of:

(I) Horizontal merger

(II) Conglomerate merger

(III) Cross-border merger

(IV) Vertical merger

Answer: C

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42.

The BP and Amoco merger is an example of:

(I) Cross-border merger

(II) Horizontal merger

(III) Economies of scale

Answer: C

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43.

What will be the post-merger price per share for Firm A's stock if Firm A pays in cash?

Answer: C

P = (10,000+200)/100 = 102

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