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A Leveraged Buyout Refers To

Question 11

Multiple Choice

A leveraged buyout refers to:


A) one firm issues stock to take over another firm.
B) one firm trades its stock for the stock of another firm.
C) a firm goes heavily into debt in order to obtain the funds to purchase the shares of the public stockholders and thus take the firm private.
D) one firm pays cash for the shares of a takeover firm's shares.

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