Answer:
The correct answer is letter "B": maximize the current value per share of the existing stock.
Explanation:
Financial management collects several strategies to add value to the company in the long-term. This could be achieved by generating revenue sustainably and increasing the value per share of the firm's stock which boosts the value of the overall entity in the market.
<em>One of the most important goals financial management has is to maximize the stakeholders' wealth.</em>
Expansionary monetary policy is usually has real expansionary short-run effects. as prices adjust, the long-run impact of inflationary effect.
Expansionary or known as loose policy is a form of macroeconomic policy that seeks to encourage economic growth. Expansionary policy might consist of either monetary policy or it can be fiscal policy or it can be the combination of the two.
It is a part of the general policy prescription of Keynesian economics which is to be used during economic slowdowns as well as the recessions in order to moderate the downside of economic cycles.
Expansionary policy can involve significant costs as well as the risks which includes macroeconomic or microeconomic, and political economy issues.
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Hindsight is a wonderful thing in any business, or in life in general. We could make the best business decisions and maximise earnings if we had access to a crystal ball that could tell us exactly how many people would buy our goods.
<h3>
What Is Cost-Volume-Profit (CVP) Analysis?</h3>
An approach to determining how changes in variable and fixed expenses impact a company's profit is through cost-volume-profit (CVP) analysis.
Companies can utilise CVP to determine how many units they must sell to attain a specific minimum profit margin or break even (pay all expenditures).
CVP analysis makes a number of presumptions, among them the constancy of the sales price, fixed costs, and variable costs per unit.
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