When a hostile takeover appears to be inevitable,a target company will sometimes look for another,friendlier company to acquire it called a:
A)poison pill.
B)classified board.
C)golden parachute.
D)white knight.

Question

Quizplus · Accepted Answer

A white knight is a term used to describe a friendly company that a target company can turn to for help when a hostile takeover is imminent. The white knight is typically seen as a desirable outcome for the target company since it allows it to maintain its independence and avoid being taken over by a hostile bidder. The other options (poison pill, classified board, and golden parachute) are defensive measures that a company might take to deter a hostile takeover, but they do not involve finding a friendly acquirer like a white knight.

When a Hostile Takeover Appears to Be Inevitable,a Target Company