The positive incremental net gain associated with the combination of two firms through a merger or acquisition is called:
A) goodwill.
B) the merger cost.
C) the consolidation effect.
D) synergy.

Question

Quizplus · Accepted Answer

Synergy refers to the additional value, efficiencies, or cost savings that result from combining two companies, which can lead to a positive incremental net gain.

The Positive Incremental Net Gain Associated with the Combination of Two