Which of the following statements is NOT correct?
A)A mutual-to-stock conversion allows savings institutions (SIs)to obtain additional capital by issuing stock.
B)Because of their ownership structure, mutual SIs are more susceptible to unfriendly takeovers.
C)When a mutual SI is involved in an acquisition, it first converts to a stock-owned SI.
D)Consolidation and acquisitions have caused the number of mutual and stock SIs to decline consistently over the years.

Question

Quizplus · Accepted Answer

Mutual Savings Institutions (SIs) are actually less susceptible to unfriendly takeovers due to their ownership structure, which is more diffuse and does not involve stock that can be easily purchased in the open market, unlike stock-owned SIs.

Which of the Following Statements Is NOT Correct