One method of expanding a business is the purchase of an entire company or part of it so that the entity is completely absorbed and no longer exists as a separate company.This is called:
A) a joint venture.
B) an acquisition.
C) a subsidiary.
D) a takeover.

Question

Quizplus · Accepted Answer

An acquisition involves the purchase of either an entire company or part of it, with the aim of expanding the purchasing company's operations, products or services. It can be either friendly or hostile, depending on the agreement between the two companies. In an acquisition, the target company is absorbed into the purchasing company, and it no longer exists as a separate entity.

One Method of Expanding a Business Is the Purchase of an Entire