If Company A purchases the majority shares of Company B what combination would this be referre...........

Accountancy (Phase -I & II) Accounting for Shares

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If Company A purchases the majority shares of Company B, what combination would this be referred to?

Amalgamation

Takeover

Absorption

None of the above

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Explanation:

A takeover occurs when one company makes a bid to assume control of or acquire another, often by purchasing a majority stake in the target firm. In the takeover process, the company making the bid is the acquirer while the company it wishes to take control of is called the target