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consistent with CASE 1 (25 points) We claim that the goal of the corporations is to maximize current market value and therefore shareholders value. Could
consistent with CASE 1 (25 points) We claim that the goal of the corporations is to maximize current market value and therefore shareholders value. Could the following actions be co that goal? Explain in a detailed manner The firm adds a inflation adjustment to the pensions of its retired employees The firm reduces its increase dividend payment, rather than choosing to reinvest more earnings in the business for further expansion of one of the companies best selling product lines The firm buys a corporate jet for its executives to be used on their family and friends for their holidays & The firm drills for all in a remote jungle. The chance of finding oil is less than 5% and there may be some environmental issues Instructions: Rustify your opinion on each of four statements above (5 points per each of a, b, co consistent with CASE 1 (25 points) We claim that the goal of the corporations is to maximize current market value and therefore shareholders value. Could the following actions be co that goal? Explain in a detailed manner The firm adds a inflation adjustment to the pensions of its retired employees The firm reduces its increase dividend payment, rather than choosing to reinvest more earnings in the business for further expansion of one of the companies best selling product lines The firm buys a corporate jet for its executives to be used on their family and friends for their holidays & The firm drills for all in a remote jungle. The chance of finding oil is less than 5% and there may be some environmental issues Instructions: Rustify your opinion on each of four statements above (5 points per each of a, b, co
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