The complete absorption of one company by another, where the acquiring firm retains its identity and the acquired firm ceases to exist, is called a __________.

A) Merger.
B) Consolidation.
C) Tender offer.
D) Spinoff.
E) Divestiture.

Merger

The combination of two or more companies into a single legal entity, often aiming to improve competitive positioning or expand market share.

Acquiring Firm

The company that purchases another company in a takeover or merger.

Acquired Firm

A company that has been purchased and absorbed by another entity.