Corporate restructuring has been one result of more institutional ownership. Restructuring can cause
A)changes in the assets and liabilities of the firm.
B)the sale of low-profit margin divisions.
C)the removal of current management and/or large reductions in the workforce.
D)All of the options

Question

Quizplus · Accepted Answer

Restructuring can involve changes in the assets and liabilities of the firm, such as divesting underperforming assets or acquiring new ones. It can also involve the sale of low-profit margin divisions to streamline operations and improve profitability. In some cases, restructuring may require the removal of current management and/or large reductions in the workforce to cut costs and improve efficiency. Therefore, all of the options are possible outcomes of corporate restructuring.

Corporate Restructuring Has Been One Result of More Institutional Ownership