If a manager is to maximize stockholder wealth, he or she must know how that wealth is determined. How is the value of an asset determined?

Question 5 options:

a)	Maximize its expected EPS.

b)	Minimize the chances of losses.

c)	The value of any asset is the present value of the stream of cash flows that the asset provides to its owners over time.

d)	(a) and (b)