Question

in absorption company which takes over is called as _____ company

Answer 1

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The process in which one company acquires the business of another company is known as Absorption. In this process, a smaller existing company is overpowered by an existing larger company. No new company is established in absorption.

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Answer 2

Answer-

Absorbed as a business term generally refers to the process of taking in, acquiring, or bearing. The term can be applied in a number of different situations, the most common of which is manufacturing overhead.