1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Phoenix [80]
4 years ago
5

If management operates to maximize the firm's profits, this will also maximize the market value of stockholders' wealth.

Business
1 answer:
Talja [164]4 years ago
7 0

Answer:

b. False

Explanation:

The shareholder wealth could be maximized when there is a rise in the stock price as when the stock price rises, it automatically rised the value of the firm and the net worth also

Therefore in the given situation, in case when the firm wants to maximise its profits so it not necessary to increased the market value

Therefore the given statement is false

You might be interested in
Martha was promised a 10% raise if she wins a contract with the city government. Martha could use the money to pay off some debt
Vlad1618 [11]

Answer:

The answer is expectancy.

Explanation:

Expectancy theory is a concept developed by Victor H. Vroom in 1964, where he postulated, that the strength an individual has in terms of his or her motivation to do an action, would appear when three components are satisfied to a certain value: expectancy, instrumentality, and valence. The question above is relevant to the expectancy component, which is detailed as the belief that an individual has regarding their efforts would result in the individual choosing to perform an action. In the case of Martha, she wasn’t sure that her efforts in trying to win the contract would lead to her 10% raise (outcome, a component of instrumentality), and thus, she decided not to try.  

3 0
3 years ago
Credit risk measures using the structural model: assume a company has the following characteristics.
Alexeev081 [22]

Answer:

a ) Probability of default of debt over the time to maturity is 12.92%

(b ) Expected loss: $39.53

(C ) Present value of expected loss is $45.59

Explanation:

a ) Probability of default of debt over the time to maturity is 12.92%

(b ) Expected loss: $39.53

(C ) Present value of expected loss is $45.59.

Values calculated as shown in my detailed step by step answer at the attachment.

please kindly refer to attachment.

4 0
3 years ago
Let’s say you are a defense attorney and are defending a client on a murder charge. The victim was found in a dark alley. A witn
Klio2033 [76]

As mentioned the alley was dark. So it is possible that there was someone else at the crime scene and the witness is mistaken to be that man. It is quite possible to see someone in the dark and mistaken them for someone else. As the alley was dark, eye witness testimony is not reliable.

The eyewitness doesn’t have any evidence whereas my client has an alibi and he was not present at the crime scene. Even if my client was standing near the boy it doesn’t prove that he killed someone.  

5 0
3 years ago
The distribution of 27 salaries at a small company has mean $35,000 and standard deviation $2,000. Suppose the company hires a 2
bonufazy [111]

Answer:

Correct option is (c)

Explanation:

Mean is the average of values in a data set. Range is the difference between highest and lowest values in the data set and median is the mid point (value) that separates lower and higher values in a data set.

If a data point is added, in this case 28th employee is added, definitely mean will change. If data point higher than existing mean is added,  then mean will increase. Median and range may or may not change depending on the value added or removed.

In this case, mean is likely to increase since 28th employee's salary is more than existing mean.

7 0
3 years ago
Several years ago, a parent company acquired all of the outstanding common stock of its subsidiary for a purchase price of $400,
Alex787 [66]

Answer:

$750,000

Explanation:

Computation of the balance of the Equity Investment account on the parent's pre-consolidation balance sheet

EQUITY INVESTMENT ACCOUNT

Purchase price $400,000

Add Net income $400,000

Less Dividends ( $50,000 )

Balance of equity $750,000

($400,000+$400,000-$50,000)

Therefore the balance of the Equity Investment account on the parent's pre-consolidation balance sheet assuming that the Goodwill asset has not declined in value subsequent to the date of acquisition will be $750,000

8 0
3 years ago
Other questions:
  • You are working as a correctional officer. Your boss pulls you aside and discusses with you how you handled a situation with an
    10·1 answer
  • Some sellers of used cars provide warranties to buyers, with the aim of reassuring buyers that the car is of good quality. these
    5·1 answer
  • What is the only state whose capital city begins with the letter "f"?
    11·1 answer
  • Ben owns a lawn care business. from experience, ben has found that john deere equipment lasts almost twice as long as competitor
    12·1 answer
  • The demand schedule for a good: Group of answer choices indicates the quantity that people will buy at the prevailing price. ind
    10·1 answer
  • Interest rates generally reflect
    5·1 answer
  • A provision requiring a construction contractor to pay $300 for every day it is late in completing the construction contract is:
    14·1 answer
  • c. Describe the role a sales person would play in selling this type of product. How much help would customers be likely to need
    14·1 answer
  • The focus of Performance Based Logistics (PBL) is to leverage best practices of both Government and Industry.
    14·1 answer
  • When a company is able to expand its operations by exporting globally, it can often achieve greater economies of scale which res
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!