Why is maximizing shareholder wealth a better goal than maximizing profits?

Why is maximizing shareholder wealth a better goal than maximizing profits?

Why is maximizing shareholder wealth a better goal thanmaximizing profits?a. Maximizing shareholder wealth places greater emphasis on theshort term.b. Maximizing profits ignores the uncertainty that is related toexpected profits.c. Maximizing shareholder wealth gives superior consideration tothe entire portfolio of shareholder investments.d. Maximizing profits gives too much weight to the tax position ofshareholders.


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