The acquired company should be fully integrated into the acquiring company if an earn-out is used to consummate the transaction.

Name: The acquired company should be fully integrated into the acquiring company if an earn-out is used to consummate the transaction.
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Question

Quizplus · Accepted Answer

Earn-outs are often used when the acquired company is not fully integrated, allowing the original management to continue operating independently to meet performance targets.

The Acquired Company Should Be Fully Integrated into the Acquiring