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Growth depends on the volume of investment. Investment depends on capital availability. Capital may come from either internal or external source. External source of capital is costly where as internal generation of funds is economical. Generation of internal capital depends on profit making capacity of a firm. Hence, profit maximization would automatically lead to growth maximization
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Why growth may not be the important objective of the business?
Before growth there are most important objectives for a business, first at all to make profits maximisation, business survival.So to be survived on the market,it will have to lower its prices of the products even though it will have a lower profits.
What are the similarities between profit maximisation objectives and wealth maximisation objectives?
Both profit maximization and wealth maximization have the objective of increasing the net worth.
Why Profit Maximisation is the main objective of a firm Discuss this statement with the help of an example?
1. Profit Maximisation is the main objective of a firm" Discuss this statement with the help of an example.
What are the policies on profit and maximization in manegerial economics?
WHAT IS THE PROFIT MAXIMISATION?
What circumstances is the sum of variable production and selling costs the appropriate minimum price for special orders?
It is the appropriate sum when there is significant competition or optimisation decisions are not being made with respect to profit maximisation but production maximisation.
What are the objectives of a modern business firm?
Profit maximization sales maximisation growth maximisation utility maximisation satisfying behavior long run survival welfare objectives
What do you mean by wealth maximisation?
analysis of shareholder wealth maximisation
Boumal's static and dynamic models?
Baumol suggested sales revenue maximisation as an alternative goal to profit maximisation. He presented two basic models: A static single–period model and a multi-period dynamic model of growth of sales revenue maximisation. Each model has two versions, one with advertising activities and another without.
What do you mean by shareholders wealth maximisation?
analysis of shareholder wealth maximisation
Wealth maximization is a function of share price maximization discuss?
the difference between Profit maximisation and share price maximisation
Why growth may not be the important objective of the business?
Before growth there are most important objectives for a business, first at all to make profits maximisation, business survival.So to be survived on the market,it will have to lower its prices of the products even though it will have a lower profits.
What are the similarities between profit maximisation objectives and wealth maximisation objectives?
Both profit maximization and wealth maximization have the objective of increasing the net worth.
Why Profit Maximisation is the main objective of a firm Discuss this statement with the help of an example?
1. Profit Maximisation is the main objective of a firm" Discuss this statement with the help of an example.
What are the policies on profit and maximization in manegerial economics?
WHAT IS THE PROFIT MAXIMISATION?
What circumstances is the sum of variable production and selling costs the appropriate minimum price for special orders?
It is the appropriate sum when there is significant competition or optimisation decisions are not being made with respect to profit maximisation but production maximisation.
Will profit maximisation necessarily lead to wealth maximisation?
Assuming that you understand what is maximisation, the the question is left only with two words, profit and value.Profit = Incomes - Expenses, while value is simply the relative worth (in monetary or...analysis of shareholder wealth maximization.While it is easy to see why you might think this, theoretically a sponsorship should be useful as an advertisement. Furthermore, if the sponsorship is of a nonprofit such as a scholarship or an AYSO..
Analyze two other alternative to profit maximisation as a goal of the firm?
is this in relation to energy markets?
