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ArbitrLikvidat [17]
3 years ago
6

Advantages of profit maximization​

Business
2 answers:
DedPeter [7]3 years ago
5 0
Profit can be used to pay higher wages to owners and workers. ...
Profit can be used to invest in research & development. ...
Profit enables the firm to build up savings, which could help the firm survive an economic downturn.
Evgesh-ka [11]3 years ago
3 0

Answer:

Improved ratios will enhance investor's confidence and therefore share price.

Access to a wider range of finance because of a better image to creditors.

Long-term profits will improve liquidity and cash flows, which can be used for future investments, dividends, loan payments or retained.

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