Which of the following is not an example of restructuring?
A) Increase or decrease the amount of common stock.
B) Eliminating profitable but unrelated divisions.
C) Merging with companies in related industries.
D) Divesting of an unprofitable division.

Question

Quizplus · Accepted Answer

Eliminating profitable but unrelated divisions is not considered restructuring. Restructuring typically involves changes aimed at improving financial stability or refocusing on core operations, which may include divesting unprofitable divisions, merging with related companies, or adjusting capital structure, but not eliminating profitable divisions.

Which of the Following Is Not an Example of Restructuring