Question

Distinguish between profit maximisation and wealth maximisation

Answer 1

1: in profit maximisation organization only concern in maximising there profit and the one and only aim of the organization is to earn more and more profit .

2: wealth maximisation is totally different from profit Maximisation ..

it concern with earning profit along with it takes care about there shareholdres as the shareholderns are the owner of the company.

3 : In profit maximisation the organization ignore s the wealth of the shareholder nd only concentrate on earning profit. but in wealth maximisation the organization concern with profit as well as wealth of the shareholders...