Which of the following statements is FALSE?
A)Chief among the costs associated with size is that larger firms are more difficult to manage.
B)For most investors an investment in the stock market is a zero-NPV investment.
C)Diversification benefits are by far the most common justification that bidders give for the premium they pay for a target.
D)An acquirer might be able to add economic value,as a result of an acquisition,that an individual investor cannot add.

Question

Quizplus · Accepted Answer

Diversification benefits are not typically the primary justification for the premium paid in acquisitions; synergies and strategic benefits are more common reasons.

Which of the Following Statements Is FALSE