The combination of two or more companies to form a completely new corporation is a
A) holding company
B) merger
C) congeneric formation
D) consolidation

Question

Quizplus · Accepted Answer

Consolidation is the combination of two or more companies to form a completely new corporation. A holding company is a corporation that owns a controlling interest in one or more other companies but does not merge them into a new corporation. A merger is the combination of two or more companies into an existing corporation, while congeneric formation refers to the combination of two or more companies in related industries.

The Combination of Two or More Companies to Form a Completely