Building Corporation and Construction Inc. combine so that only Construction continues to exist. This is
A)a takeover.
B)a merger.
C)a liquidation.
D)a share exchange.

Question

Quizplus · Accepted Answer

When two companies combine and only one of the surviving companies continues to exist, it is considered a merger. In this case, Building Corporation and Construction Inc. combine, with only Construction continuing to exist, making it a merger.