A financial goal of the firm is to
A) accept projects that have negative NPVs.
B) accept all projects that can be funded internally.
C) accept projects that have a cost of capital greater than the IRR.
D) none of the above

Question

Quizplus · Accepted Answer

The financial goal of a firm is typically to maximize shareholder wealth, which involves accepting projects with positive NPVs, not negative ones, and ensuring the cost of capital is less than the IRR.

A Financial Goal of the Firm Is to