The acquisition date for a business combination is the date on which:
A) the business combination is announced to the public.
B) the acquirer announces the acquisition to the acquiree.
C) the acquirer effectively obtains control of the acquiree.
D) a substantive agreement between the combining parties is reached.

Question

Quizplus · Accepted Answer

The acquisition date for a business combination is the date on which the acquirer effectively obtains control of the acquiree. This typically occurs when the acquirer obtains the majority of voting rights in the acquiree or has the ability to direct the acquiree's operations and financial policies. It is not based on the announcement or agreement between the combining parties.

The Acquisition Date for a Business Combination Is the Date