Question

Wealth maximization means maximizing the_ of a course
of action.
(a) NPV
(c) profit
(b) IRR
(d) growth​

Answer 1

Answer:

The correct answer is (c) profit.

Explanation:

Wealth maximization refers to the process of increasing the wealth or value of a company by making decisions that result in the highest profits.

(a) Net Present Value (NPV)- It is a calculation that shows how much value a project or investment has generated. It is derived by subtracting the initial investment from the present value of the projected cash flows.

(b) IRR (Internal Rate of Return) is a percentage-based indicator of a project's profitability that is based on the net present value of the project's future cash flows.

(c) Profit - Increasing a company's wealth is the primary goal of wealth maximisation.

(d) Growth - This term describes an increase in a company's size, worth, or strength, or a measure like sales growth or profit growth.

To learn more about Net Present Value, refer these links.

https://brainly.in/question/40369836

https://brainly.in/question/12292449

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