Question

The sellers insistence that the buyer agree to purchase its stock may encourage the buyer to

a. offer a lower purchase price because it is assuming all of the target firms liabilities

b. offer a higher purchase price because it is assuming all of the target firms liabilities

c. offer a lower purchase price because it is receiving all of the targets tax benefits

d. use its stock rather than cash to purchase the target firm

e. use cash rather than its stock to purchase the target firm

Answer

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