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Author Question: Which of the following statements best describes corporate goals and issues? (Read 106 times)

hgjjghgjh

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Which of the following statements best describes corporate goals and issues?

The proper goal of the financial manager should be to attempt to maximize the firm’s expected cash flows, because this will add the most to the wealth of the individual shareholders.


Potential agency problems can arise between shareholders and managers, because managers hired as agents to act on behalf of the owners may instead make decisions favourable to themselves rather than the shareholders.


Large, publicly owned firms like Tesla and Apple are controlled by their management teams. Ownership is generally widely dispersed; hence, managers have great freedom in how they run the firm. Managers may operate in the shareholders’ best interests, but they also may operate in their own personal best interests. As long as they stay within the law, there is no way to either force or motivate managers to act in the shareholders’ best interests.


The primary goal of the corporation should be to maximize shareholder wealth, which means the managers should be unmindful of employee welfare or community concerns.



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Marked as best answer by hgjjghgjh on Aug 7, 2023

Khareemom14

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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hgjjghgjh

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Reply 2 on: Aug 7, 2023
Gracias!


marict

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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