Economics 0455 · IGCSE · Firms’ costs, revenue and objectives

Firms’ costs, revenue and objectives — practice question

For what reason might one profitable oil-drilling company want to acquire another profitable oil-drilling company?

  • Ato bring its suppliers into the same firm
  • Bto get closer to its customers to increase sales
  • Cto reduce its costs per unit of output
  • Dto reduce the amount of corporation tax it paid

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