Asset sales:
I.are perceived as good news for investors of the selling firm;
II.generally result in the assets being employed more productively after the sale;
III.transfer business units to companies that can manage them more efficiently;

Question

Quizplus · Accepted Answer

Asset sales are often seen positively by investors as they can indicate a strategic refocus or debt reduction (I). The assets are typically used more effectively by the new owner (II), and the acquiring company is often better suited to manage the assets, leading to improved efficiency (III).

Asset Sales: I.are Perceived as Good News for Investors of the Selling