The primary objective of a for-profit firm is to ___________.
A)maximize agency costs
B)minimize average cost
C)maximize total revenue
D)set output where total revenue equals total cost
E) maximize shareholder value

Question

The primary objective of a for-profit firm is to ___________.
A)maximize agency costs
B)minimize average cost
C)maximize total revenue
D)set output where total revenue equals total cost 
E) maximize shareholder value

Quizplus · Accepted Answer

The primary objective of a for-profit firm is to maximize shareholder value, which means maximizing the long-term value of the firm for its shareholders. This involves making decisions that maximize profits while also taking into account the interests of other stakeholders, such as employees and customers.

The Primary Objective of a For-Profit Firm Is to ___________