When a new company is acquired, _______.
A)there is rarely any disruption to accounting and information technology (IT) systems
B)there is frequently a period of transition and integration of accounting and IT systems when different formats are introduced
C)there is infrequently a period of transition and integration of accounting and IT systems when different formats are introduced.
D)the acquiring company's systems are immediately discontinued and replaced with the acquiring company's systems

Question

Quizplus · Accepted Answer

When a new company is acquired, there is frequently a period of transition and integration of accounting and IT systems when different formats are introduced. This is because the acquiring company may have different systems and software in place than the company being acquired, and they need to be integrated or replaced to ensure smooth operations. It is not uncommon for there to be some disruption during this period of transition.

When a New Company Is Acquired, _______