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Which of the Following Is a Disadvantage of a Friendly

Question 74

Multiple Choice

Which of the following is a disadvantage of a friendly buyout?


A) The owner will be more objective about the buyer.
B) It destroys the owner's reputation without an opportunity to recover its value.
C) The firm's assets or inventory is depleted.
D) They are frequently accompanied by noncompete agreements and other strings.
E) The buyer might discover a bulk of unpaid taxes.

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