What are the main features of stock purchase and asset purchase agreements?

I. In a stock purchase, the buyer purchases equity interests in a target company from one or more selling shareholders. In an asset purchase, the seller sells business assets to the buyer.

II. In a stock purchase, a buyer buys the assets of the target company, while in an asset purchase, a buyer buys a controlling interest of shares of the target company being purchased.

III. Stock purchase and asset purchase agreements are generally used to complete acquisitions, not mergers.

a. I and III.

b. II.

c. III.

d. I, II, and III.

e. II and III.