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Dmitry [639]
2 years ago
10

A horizontal merger between two firms occurs when: __________

Business
1 answer:
Stells [14]2 years ago
8 0

Answer:

e

Explanation:

A merger can be described as the absorption of one firm by another firm.

When a merger occurs, one of the firms would not exist as a separate entity while the other firm would continue to exist.

<em><u>Types of merger </u></em>

<em><u>1. Horizontal merger : </u></em>this is a type of merger that occurs between firms in the same industry. The firms are usually competitors.

<u><em>Reasons for an horizontal merger</em></u>

  • It is done to increase the market power of a firm
  • This type of merger is done to achieve economies of scale.

An example of an horizontal merger is the merger between Mobil and Exxon in 1999.

2.<u><em> Vertical merger : </em></u>this is when a firm purchases another firm in the same production line. e.g. a baker purchases a pastry distributing company

<u><em>Reasons for a vertical merger</em></u>

  • Cost savings
  • It provides the firm acquiring a greater control of the production process.

<u><em>Types of vertical merger</em></u>

<u><em>a. Backward integration :</em></u> it is when the acquiring firm purchases a firm ahead of it in the production process. e.g. a baker purchases a pastry distributing company

<u><em>b. Forward integration :</em></u> it is when the acquiring firm purchases a firm that is behind it in the production process. e.g. a baker purchases a firm that supplies grains

<u><em>3. Conglomerate merger : </em></u>This occurs when the products of the merging firms were not related in any manner before the merger.

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Mr. Darcey was the owner
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2 years ago
The teenage market is a market that is categorized in what way?
grin007 [14]
The closest answer that i can think of is categorized by consumer. By consumer, we are saying that you have to categorize them based on what they like meaning based on what they like at their age. For example, if you are going to market a pizza store to them, one of the best ways to do that is to position your pizza store as a place for friends to hang out because teenagers, at that age, love to hang out with friends and to be cool. So you have to categorize a teenage market by their interests when they are at that certain adolescent age
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3 years ago
Roberto Designers was organized on January 1, 2018. The firm was authorized to issue 140,000 shares of $5 par value common stock
Phoenix [80]

Answer:

The total stockholder's equity at the end of the year will be $352,000.

Explanation:

The issue of common stock at $7/share= 14,000*$7=$98,000

The issue of common stock at $8/share= 28,000*$8=$224,000

The net income is $140,000.

The dividends paid= $70,000.

Purchase of treasury stock= 4000*$10=$40,000

The total stockholder's equity

=The issue of common stock at $7/share+The issue of common stock at $8/share+The net income-The dividends paid-Purchase of treasury stock

=$98,000+$224,000+$140,000- $70,000-$40,000

=$352,000.

7 0
3 years ago
In an international transaction involving a bank as a third party, the exporter ships the product after:
nataly862011 [7]

Answer: the bank promises to pay on the importer’s behalf

Explanation:

8 0
2 years ago
Mickey is a 12-year-old dialysis patient. Three times a week for the entire year he and his mother, Sue, drive 20 miles one way
gavmur [86]

Answer:

The right approach will be "$ 1123.2".

Explanation:

The number of miles to be used will be:

= 40 \ miles \ round \ trip\times  3 \ trips \ per \ week\times 52 weeks

= 6240 \ miles

Now,

The item deduction will be:

= Number \ of \ used \ miles\times 18 \ cents \ per \ mile

= 6240\times 1123.2

= 1123.2 ($)

4 0
3 years ago
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