Which of the following is the overarching principal that a financial manager should follow when making decisions?
A)Decisions should generate the greatest benefits for the firm.
B)Decisions should provide benefit to the firm without incurring costs greater than those benefits to others.
C)Decisions should be on behalf of the firm's owners that give the greatest benefit to those owners,the firm's employees and the firm's other stakeholders.
D)Decisions should increase the value of the firm to its investors.

Question

Quizplus · Accepted Answer

The overarching principle that a financial manager should follow when making decisions is to increase the value of the firm to its investors. This means making decisions that maximize the wealth of the owners/shareholders by generating a return on their investment.

Which of the Following Is the Overarching Principal That a Financial