Goals of the Firm. Fill in the blanks in the following passage by choosing the most appropriate term from the following list (some of the terms may be used more than once or not used at all): expected return, financial assets, lower, market value, higher, opportunity cost of capital, real assets, dividend, shareholders. Shareholders want managers to maximize the of their investments. The firm faces a trade-off. Either it can invest its cash in or it can give the cash back to in the form of a and they can invest it in . Shareholders want the company to invest in only if the is than they could earn for themselves. The return that shareholders could earn for themselves is therefore the for the firm.
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Goals of the Firm. Fill in the blanks in the following passage by choosing the most appropriate term...
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