Assertion: There is no possibility of a purchasing company becoming a subsidiary of the purchased company in a merger. Reasoning: A private company can takeover a public limited company.

Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A. Both Assertion (A) and reasoning (R) are correct and but R is not the correct explanation of A. Assertion (A) is true but Reasoning (R) is not correct. . Assertion (A) is not true but Reasoning (R) is correct

Assertion (A) is not true but Reasoning (R) is correct

Back flip acquisition: A very rare case of acquisition in which the purchasing company becomes a subsidiary of the purchased company. . Reverse acquisition: A private company takes over a public company.