A large property and liability insurance company merged with a bank and then acquired a stock brokerage company. This type of merger and acquisition activity is categorized as
A) insurance company consolidation.
B) cross-industry consolidation.
C) financial risk management.
D) insurance brokerage consolidation.
Answer: B
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Brayden, a production manager at Helix Inc., is against the idea of forming a union. He believes that unionization may negatively affect the company's profit margins. Which statement best supports Brayden's viewpoint?
A. Unionization tends to reduce the overall costs of labor and operations. B. Forming an employee union will reduce the risk of work stoppages. C. Unions are designed to cater to the interests of management rather than to those of employees. D. Unionization is associated with higher costs in wages and benefits. E. Union workers tend to exhibit lower levels of productivity than nonunion workers.
The ASA model introduced by Benjamin Schneider is a psychological theory, which states that people are functions of three interrelated dynamic processes, which influence organizational culture. Which process below is not included?
a. Attraction b. Selection c. Attrition d. Seduction
Cross-business strategic fit in a diversified enterprise is not normally achieved when
A. a company can transfer its brand-name reputation to the products of a newly acquired business and add to the competitive power of the new business. B. the management know-how accumulated in one business is transferable to the other. C. two businesses present opportunities to economize on marketing, selling, and distribution costs. D. related diversification produces a synergistic performance outcome. E. the value chain activities of unrelated businesses possess economies of scope and good financial fit.
The use of a call provision in addition to a sinking fund can effectively create a maturity date for
preferred stock. Indicate whether the statement is true or false