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Which of the Following Increase the Costs Associated with a Merger

Question 20

Multiple Choice

Which of the following increase the costs associated with a merger?


A) changing the title to all the combined firm's assets
B) disbanding the operations of the target firm
C) hiring an underwriter to distribute the IPO shares
D) issue costs associated with warrants that must be offered to the shareholders of the acquiring firm
E) seeking approval of the shareholders of both the acquiring and the acquired firm

Correct Answer:

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