In _______________ one party buys another by acquiring all of its assets.a.Mergerb.Acquisitionc.Divestitured.Spin-off

The correct answer to your question is b. Acquisition.

Explanation:

In the context of corporate finance and business operations, an acquisition refers to a strategic move where one company purchases and effectively takes control of another company by acquiring all of its assets. This is different from a merger, where two companies typically come together to form a new entity, often sharing equity and management roles.

Acquisitions can occur for various reasons, including increasing market share, acquiring new technology or products, or entering new markets. The acquiring company generally pays for the assets of the target company, which may involve cash, stock, or a combination of both. It’s important to note that an acquisition can also refer to the purchasing of a controlling stake in a company without necessarily buying out all its assets immediately.

In contrast, divestiture refers to the selling off of a company’s assets or divisions, and a spin-off involves creating a new independent company from an existing part of the business. Thus, the correct term for this scenario is indeed "acquisition."