Actions that help a firm increase the price of its stock also _____.
A)result in manufacturing of low-quality products
B)result in inflation
C)require the development of products that consumers want and need
D)require investment in high-cost manufacturing plants
E)result in sale of goods and services at highest possible prices

Question

Actions that help a firm increase the price of its stock also _____. 
A)result in manufacturing of low-quality products
B)result in inflation
C)require the development of products that consumers want and need
D)require investment in high-cost manufacturing plants
E)result in sale of goods and services at highest possible prices

Quizplus · Accepted Answer

Increasing the price of a company's stock usually indicates that investors have confidence in the company and its future growth prospects. This is typically achieved through the development of products that consumers want and need, which can increase revenue and profitability. Therefore, option C is the correct answer. The other options are not necessarily true and may in fact have negative impacts on a company's stock price.

Actions That Help a Firm Increase the Price of Its