Question

Ruff Games, Inc., wishes to acquire a controlling interest in Smart Toy Company by buying its stock. A public offer by Ruff Games to Smart Toy shareholders is _______

(A) a buyout notice.
(B) a golden parachute.
(C) an acquisition call.
(D) a tender offer.

Answer 1

The correct answer is (D) a tender offer.

Step-by-step explanation:

Ruff Games, Inc., has shown an interest in buying stock of Smart Toy to acquire controlling Interest in the company, for this purpose Ruff Games has intended to make a offer to Smart Toy shareholders, this is referred to as a tender offer. A golden parachute is when a compensation is offer to a company executive to dismiss themselves as a result of company takeover.