Which of the following statements is CORRECT?

Select one:

a.

The financial manager's proper goal should be to attempt to maximize the firm's expected cash flows, since that will add the most to the individual shareholders' wealth.

b.

The financial manager should seek that combination of assets, liabilities, and capital that will generate the largest expected projected after-tax income over the coming year.

c.

The financial manager's proper goal should be to minimize the riskiness inherent in a firm's earnings per share (EPS).

d.

The most important goal for the financial manager should be to attempt to maximize the firm's total profits and as a result create more to the individual shareholders' wealth.

e.

The primary goal of the financial manager is to increase firm value, thereby creating wealth for shareholders. Shareholders are likely to measure this by monitoring share price.