Assets liabilities + net worth reserves $120,000 checkable deposits $300,000 loans 140,000 stock shares 200,000 securities 40,000 property 200,000 the accompanying balance sheet is for the first federal bank. assume the required reserve ratio is 20 percent. the monetary multiplier is

Garrett is an executive vice president at samm hardware. he researches a proposal by a larger company, maximum hardware, to combine the two companies. by analyzing past performance, conducting focus groups, and interviewing maximum employees, garrett concludes that maximum has poor profit margins, sells shoddy merchandise, and treats customers poorly. what actions should garrett and samm hardware take? a. turn down the acquisition offer and prepare to resist a hostile takeover. b. attempt a friendly merger and use managerial hubris to improve results at maximum. c. welcome the acquisition and use knowledge transfer to impart sam hardware's management practices. d. do nothing; the two companies cannot combine without samm hardware's explicit consent.