Asked by Emily Treadaway on Jul 17, 2024
Verified
The primary goal of a financial manager should be to maximize the value of shares issued to new investors in the corporation.
Financial Manager
A professional responsible for the financial health of a corporation, overseeing investment activities, and planning strategies for long-term financial goals.
Value Of Shares
The worth of a company's shares on the market, influenced by its financial performance, investor perceptions, and market conditions.
- Understand the fundamental purpose of financial management as it relates to maximizing shareholder wealth.
Verified Answer
MC
Michelle Colbert-SandersJul 23, 2024
Final Answer :
False
Explanation :
The primary goal of a financial manager should be to maximize shareholder wealth, which means maximizing the overall value of the existing shares of the corporation, not just the value of shares issued to new investors.
Learning Objectives
- Understand the fundamental purpose of financial management as it relates to maximizing shareholder wealth.
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