Question

On January 1, Year 1, Pacific Corporation acquired 75% of Sand Corporation _________.

A) to increase competition
B) for research purposes
C) as part of a hostile takeover
D) for a controlling interest

Answer 1

Pacific Corporation acquired 75% of Sand Corporation for a controlling interest.

Step-by-step explanation:

When Pacific Corporation acquired 75% of Sand Corporation, it can be inferred that they did so for a controlling interest. Acquiring a controlling interest means that Pacific Corporation obtained enough shares of Sand Corporation to have significant influence over its decisions and operations. This can give Pacific Corporation the power to make important decisions and affect the overall direction of Sand Corporation's business.