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If the sources of synergy is economy of scale in COGs, which of the following statements is true? a. Combined firms sales should be bigger
If the sources of synergy is economy of scale in COGs, which of the following statements is true?
a. | Combined firms sales should be bigger than the sum of the two firms sales. | |
b. | Combined firms sales growth rate should be higher than the weighted average of the two firms sales growth rate. | |
c. | Combined firms COGs should be bigger than the weighted average of the two firms COGs. | |
d. | Combined firms profit margin should be higher than the weighted average of the two firms profit margin. |
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