1 Rapid integration increases the likelihood of the merger a

1. Rapid integration increases the likelihood of the merger achieving its goals by enabling the realization of planned synergies sooner and by minimizing employee and customer attrition. True or False 2 Cusomer antrition nalaes imeatlyfollowing an acquisition. True or False 3. The bulk of integration planning should wait until just before closing because of the huge demands of negotiating. True or False 4. Agreements of purchase and sale rarely indicate how target firm employees will be paid and how their benefit claims will be processed immediately following closing. True or False 5.-Reps and warranties provide the buyer with recourse to the seller if any of their claims or promises are untrue. True or False

Solution

1. True

By minimizing employee and customer attrition, Rapid integration increases the likelihood of the merger by enabling the realization.

2. True

Customer attrition - also known as customer churn, turnover, or defection - is when clients or customers end their relationship with a company.Customer attrition is a key metric of business health. In most industries, the cost of acquiring new customers exceeds the cost of marketing to existing ones, so monitoring attrition on a regular basis can help you project future growth or declines.Many companies now track customer lifetime value as a key benchmark when planning the marketing costs for acquisition

3. False

Companies negotiating a merger, or conducting pre-closing due diligence and planning activities.

4.   False

Agreements clearly indicate firm\'s target employees\' payment and their benefit claims.

5.   True

Customer trustability is the root of profitibility of a business. With Reps and warranties, a seller definitely recourse to the seller, because as a part of purchasing products, the seller has the liability to gurantee the after sell service.