Author Question: Assume that you went to Las Vegas and hit the jackpot for 5 million. Further assume that you were ... (Read 67 times)

Alygatorr01285

  • Hero Member
  • *****
  • Posts: 564
Assume that you went to Las Vegas and hit the jackpot for 5 million. Further assume that you
  were offered a choice to receive the 5 million today, or receive it in two years. According to one of
  the principles of finance, which would you take?
 
  A) the 5 million today because it would be worth more than if you would receive it in two years
  B) the 5 million in two years because it would be worth more than if you would receive it today
  C) You would be indifferent as to when you would receive the 5 million.
  D) the 5 million in two years because you would be afraid of spending it all right away

Question 2

The primary goal of a publicly owned firm is:
 
  A) maximize profits.
  B) minimize shareholder risk.
  C) value creation.
  D) maximize revenues.


aruss1303

  • Sr. Member
  • ****
  • Posts: 314
Answer to Question 1

A

Answer to Question 2

C
Explanation: C) to maximize shareholder's wealth



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The National Institutes of Health have supported research into acupuncture. This has shown that acupuncture significantly reduced pain associated with osteoarthritis of the knee, when used as a complement to conventional therapies.

Did you know?

A strange skin disease referred to as Morgellons has occurred in the southern United States and in California. Symptoms include slowly healing sores, joint pain, persistent fatigue, and a sensation of things crawling through the skin. Another symptom is strange-looking, threadlike extrusions coming out of the skin.

Did you know?

Symptoms of kidney problems include a loss of appetite, back pain (which may be sudden and intense), chills, abdominal pain, fluid retention, nausea, the urge to urinate, vomiting, and fever.

Did you know?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

Did you know?

The average adult has about 21 square feet of skin.

For a complete list of videos, visit our video library