Question 33-39

33. Stakeholders include which of the folowing rops b, Lenders Suppliers All of the above d. 34. All of the following are commonly used takeover tactics, except b. Bear hug d Proxy contest Poison pills Tender offer . Litigation 35. All of the following are true of tender offers except for a. Tender offers consist only of offers of cash for target stock Are extended for a specific period of time Are sometimes over subscribed Must be filed with the SEC d. All of the following are common takeover defenses except for Poison pills 36. b. Litigation c. d. Staggered boards Tender offers Golden parachutes 37. Which is true of the following? A white knight a. Is a group of dissident shareholders which side with the bidding firm Is a group of the target firm's current shareholders which side with management Is a third party that is willing to acquire the target firm at the same price as the bidder but usually b. removes the target's management Is a firm which is viewed by management as a more appropriate suitor than the bidder Is a firm that is willing to acquire only a large block of stock in the target firm d. e. 38. Which of the following statements best describes the business judgment rule? Board members are expected to conduct themselves in a manner that could reasonably be seen as being in the best interests of the shareholders a. c. The courts are expected to "second guess' decisions made by corporate boards. d. Directors and managers are always expected to make good decisions e. Board decisions should be subject to constant scrutiny by the courts. b. Board members are always expected to make good decisions 39. All of the following are true of the Williams Act except for a. b. c. Consists of a series of amendments to the 1934 Securities Exchange Act Facilitates rapid takeovers over target companies Requires investors acquiring 5% or more of a public company to file a 13(d) with the d. Firms undertaking tender offers are required to file a 14(d)-1 with the SEC e. Acquiring firms initiating tender offers must disclose their intentions and business plans SEC