Q.1 "The basic rationale for the objective of shareholders' wealth maximization is that it reflects themost efficient use of society's economic resources and thus leads to a maximization of society'seconomic wealth" (Ezra Solomon). Comment critically.
Answers
Answered by
0
Answer:
the answer is gravity ..
Answered by
0
The critical comments on the given statement are:
- Maximizing shareholder wealth is often a superior goal of the company, creating profit to increase the dividends paid out for each common stock.
- Shareholder wealth is expressed through the higher price of stock traded on the stock market
- The shareholder wealth maximization goal states that management should seek to maximize the present value of the expected future returns to the owners (that is, shareholders) of the firm.
Similar questions