Question

Wealth maximization means maximization of ________________ .
Shareholder income
Shareholder wealth
Marginal revenue
Marginal profit​

Answer 1

Wealth maximization means maximization of the shareholder's wealth as a result of increase in share price thereby increasing the market capitalization of the company.

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Answer 2

Answer:

Wealth maximization is the concept of increasing the value of a business in order to increase the value of the shares held by its stockholders. ... The most direct evidence of wealth maximization is changes in the price of a company's shares.