An example of a(n) __________ is when Exxon and Mobil decided to come together as one to form the company Exxon-Mobil.
A)merger
B)acquisition
C)spinoff
D)diversification

Question

Quizplus · Accepted Answer

A merger is the combination of two companies to form a new company. In this case, Exxon and Mobil merged to become Exxon-Mobil. An acquisition involves one company buying another company. A spinoff involves a company dividing itself into two or more new entities. Diversification involves a company expanding into new industries or markets.

An Example of A(n) __________ Is When Exxon and Mobil