Which one of these statements is correct?

Question

Quizplus · Accepted Answer

Smart investment decisions are critical for creating value in a business, while smart financing decisions can provide the necessary capital to pursue those investments. Corporate governance, on the other hand, refers to the system of rules, practices, and processes by which a company is directed and controlled, and is an important factor in ensuring the integrity and accountability of a business, making it relevant. Option A is incorrect, as a dollar received today is worth more than a dollar received in the future due to the time value of money. Option B is also incorrect, as investors typically demand a higher return for taking on greater risk, making certain cash flows more valuable.

Which One of These Statements Is Correct