Which of the following statements about Economic Value Added (EVA) is NOT true?
A) EVA is a measure of value creation.
B) EVA is a process for attempting to create value.
C) If a firm generates positive EVA then it increases shareholder value.
D) All of the above are true.
D
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Which of the following actions were approved both by the Antitrust Review in the EU as well as in the United States?
A) acquisition of Honeywell (U.S.) by GE (U.S.) B) joint venture between music businesses of EMI group (Great Britain) and Time Warner (U.S.) C) merger of Sony Music (Japan) and BMG (Germany) D) merger of WorldCom (U.S.) and MCI (U.S.) E) British Airways (U.K.) and American Airlines (U.S.)
Firms that have either convertible securities or stock options or warrants outstanding have __________________________________________________
Fill in the blank(s) with correct word
David is qualified to teach Management Science, but has misplaced his slide rule and doesn't feel he can complete the necessary calculations if he is assigned to teach it next semester. Which of these constraints would ensure that he isn't the instructor?
A) DI + DP + DQ + DC + DL ? 2 B) SM + GM + TM + DM ? 1 C) DM = 0 D) DI + DP + DQ + DC + DL + DM ? 3
The text gives a number of valid, acceptable reasons for companies to merge. Which of the following is NOT acceptable?
A. Synergistic benefits arising from mergers. B. Reduction in competition resulting from mergers. C. Acquisition of assets at below replacement value. D. Attempts to minimize taxes by acquiring a firm with large accumulated losses that can be used immediately. E. Using surplus cash to acquire another firm and prevent unfavorable tax consequences for shareholders.