The following are sensible reasons for mergers:
A) economies of scale.
B) economies of scale, economics of vertical integration, and complementary resources.
C) economies of scale, complementary resources, preventing the target firm from wasting surplus funds, and eliminating target firm inefficiencies.
D) economies of scale, economics of vertical integration, complementary resources, preventing the target firm from wasting surplus funds, eliminating the target firm inefficiencies, and industry consolidation.
Correct Answer:
Verified
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