1. On average, shareholders of
A. the target firm benefit from mergers.
B. the target firm benefit from cash mergers and incur losses in stock mergers.
C. the acquiring firm benefit the most from a merger.
D. the target firm suffer losses when a merger occurs.
E. both the acquiring and target firms incur losses when firms merge.
2. A company's net earnings can be increased or decreased through accounting methodologies. Why?
a) True
b) False