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1. The primary goal of financial management is most associated with increasing the a. dollar amount of each sale. b. traffic
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Answer #1

1. Option e. market value of the firm

Primary goal of a financial management is to increase the current value per share of the company, hence to increase the firm's market value should be the priority.

2. Option a. sole proprietorship

In sole proprietorship there is no clash of interest between two parties hence is suppose to have the least governance issues.

3. Option d. to serve the best interest of the outside shareholders

The primary function of any board of directors is to create shareholder wealth or value. This is done through various corporate actions and by establishing strategies and goals for the company.

4. Option a. they address core conflicts of interest between managers and owners.

Codes of Corporate Governance deals with transparency of all the information to owners as well as maintaining ethics and fairness of their activities towards the owners or stockholders .

5. Option b. $4319

Given

Future value of an investment FV = 5000

Time of investment N = 3

Interest rate = 5%

Present value of this future amount is calculated as follows

PV = Fv / ( 1+ r) N

PV = 5000 / ( 1 + 0.05) 3

PV = 5000 / 1.157625

PV = $4319

Option b.    $4319

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