If the merge happens, shareholders of both companies will have a stake in the new one.
Merger announcements will specify what percentage of the combined company each group of shareholders will own based on the deal's terms. Shareholders whose shares are not exchanged will find their control of the larger company diluted by the issuance of new shares to the other company's shareholders.
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Answer:
2. People face trade-offs.
Explanation:
People face trade-off after cost and benefit analysis. for example, spending more time studying economics involve a benefit (a benefit is to get high marks in the subject). and cost is you could have spent that time doing something else, such as working in a restaurant to earn money. That is, your decision involves a trade-offs.
The answer is a loan agreement because you agreed to by the car
Answer: Earnings are reported by the investee in its financial statements
Explanation:
Equity method is when investments are being treated in associate companies and it is usually applied in cases whereby an investor entity holds about twenty to fifty percent of the associate company's voting stock. Due to this reason, it has a strong say in the associate company's management.
Under the equity method of accounting for investments, an investor recognizes its share of the earning in the period in which the earnings are reported by the investee in its financial statements.
