Which one of the following best states the primary goal of financial management?
A)maximize current dividends per share
B)maximize the current value per share
C)increase cash flow and avoid financial distress
D)minimize operational costs while maximizing firm efficiency
E)maintain steady growth while increasing current profits

Question

Quizplus · Accepted Answer

The primary goal of financial management is to maximize the current value per share, which means to increase the overall value of the company for shareholders. This encompasses all aspects of financial management, including cash flow, profits, operational costs, and dividends. While the other choices may be important secondary goals, they do not fully capture the primary goal of financial management.

Which One of the Following Best States the Primary Goal