Which of the following statements is not a reason a company may purchase another company's stock?

A) earning a return on excess cash
B) sustain the other company's stock price
C) gaining control of another company's operations
D) developing or maintaining business relationships

Return On Excess Cash

A measure of how effectively a company is using its idle cash, beyond what is needed for its immediate operating needs, to generate returns.

Sustain Stock Price

Efforts or strategies employed by a company to maintain or increase the market value of its shares over time.

Gaining Control

The process of acquiring the ability to direct the affairs of an entity, often through ownership of a majority of its voting shares.