primary buying objective for business firms is usually to
A) increase profits through increasing costs and increasing revenues.
B) increase profits through reducing costs and decreasing revenues.
C) increase profits through reducing costs or increasing revenues.
D) maintain profits through reducing costs and increasing revenues.
E) reduce profits through reducing costs and reducing revenues.

Question

Quizplus · Accepted Answer

The primary buying objective for business firms is usually to increase profits. In order to achieve this objective, they may choose to reduce costs or increase revenues (or both). Option A, B, and E are unlikely since the objective of any business primarily is to maximize profits. Option D is partially correct, as maintaining profits is also important, but the objective of the firm is not limited to just maintaining profits; it also aims to increase profits through reducing costs or increasing revenues. Therefore, option C is the best answer.

Primary Buying Objective for Business Firms Is Usually to