Question

The primary goal of financial management is to: a. maximize current dividends per share of the existing stock.b. maximize the current value per share of the existing stock.c. avoid financial distress.d. minimize operational costs and maximize firm efficiency.e. maintain steady growth in both sales

Answer 1

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.

One of the most important goals financial management has is to maximize the stakeholders' wealth.