Question:
Statement I: The objective of financial management is to maximize shareholders’ wealth.
Statement II: The shareholders gain if the value of shares in the market increases.
Choose the correct option:
Statement I: The objective of financial management is to maximize shareholders’ wealth.
Statement II: The shareholders gain if the value of shares in the market increases.
Choose the correct option:
Statement II: The shareholders gain if the value of shares in the market increases.
Choose the correct option:
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Financial management focuses on maximizing the market value of shareholders' wealth.
Updated On: Jun 22, 2025
- Statement I is true and Statement II is false.
- Statement II is true and Statement I is false.
- Both the Statements are true.
- Both the Statements are false.
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The Correct Option is C
Solution and Explanation
Statement I correctly defines the goal of financial management. Statement II is also true, as an increase in share value benefits shareholders. Both are accurate and related.
Final Answer: (C) Both the Statements are true.
Final Answer: (C) Both the Statements are true.
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