State whether the following statements are true or false with reasons: Divestitures represent the sale of a part of a total undertaking.

True. Divestiture is the partial or full disposal of an investment or asset through sale, exchange, closure, or bankruptcy. Divestiture can be done slowly and systematically over a long period of time, or in large lots over a short time period. For a business, divestiture is the removal of assets from the books.