Business combinations are used by firms to externally expand in order to achieve all of the following objectives EXCEPT
A) to acquire needed assets.
B) to increase common stock outstanding.
C) to increase liquidity.
D) to increase productive capacity.

Question

Quizplus · Accepted Answer

Business combinations are used by firms to acquire needed assets, increase liquidity, and increase productive capacity. However, it is not necessarily the objective to increase common stock outstanding through a business combination.

Business Combinations Are Used by Firms to Externally Expand in Order