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Question
question 21 (2.5 points)
commercial farming, inc., attempts to buy a significant number of the shares of cornfield farming company through a public offer to shareholders. this is
a) a consolidation.
b) a dissolution.
c) a short - form merger.
d) a tender offer.
question 22 (2.5 points)
marcy is a corporate officer for frozen fish, inc. as a corporate officer, marcy is
a) the head of the board of directors.
b) an employee of the firm.
c) in charge of approving the shareholders.
Question 21
Brief Explanations
- Option a: Consolidation involves combining companies into a new one, not a public offer to shareholders for shares.
- Option b: Dissolution is ending a company, not a share - buying offer.
- Option c: Short - form merger is a merger with simplified procedures, not a public share offer.
- Option d: A tender offer is when a company makes a public offer to buy a significant number of another company's shares from shareholders. So this matches the situation.
Brief Explanations
- Option a: The head of the board of directors is usually the chairperson, not a corporate officer. Corporate officers are different from board members.
- Option b: Corporate officers (like CEO, CFO, etc.) are employees of the firm, responsible for day - to - day operations.
- Option c: Approving shareholders is not the role of a corporate officer. Shareholder approval processes are different and not managed by corporate officers in this way.
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d) a tender offer.