Which of the following statements regarding merger synergies are least accurate? A) The more confident the acquirer is that synergies will be realized, the more likely they will make a cash offer. B) In a stock offer, all of the risks and potential rewards shift to the target. C) If estimates regarding the value of the synergies are too high, the target will bear some of the downside. Your answer: C was incorrect. The correct answer was B) In a stock offer, all of the risks and potential rewards shift to the target. In a stock offer, some of the risks and potential rewards shift to the target. Both remaining statements are correct as presented. ------- answer C: isn’t it an incorrect statement since it does not tell you whether its a stock or cash offer? if a stock offer then yes target will bear some of the downside. but if a 100% cash offer, target bears no burdens at all right?
As you said C could be true or false (I dont why it says remaining statements are correct as presented) but B is false making it the least accurate.
B is the only false out of the answers. A is true and C is neither.
You are perfectly correct on C. But somehow, the question maker wanted us to ignore C over B. C is a conditional incorrect statement, whereas B is no doubt an incorrect statement. I am quite sure, this question cannot be from CFAI text 
If you and i were given a task to frame 1000 questions on one given topic, we too will come up with such confusing questions
i concur with you guys. A is true, B is false, C could be true or false. Thus the only false statement is B. Obviously a subpar question. Thanks for the prompt help.