Which of the Following Might Represent the Goals of Shareholders

question 27

Multiple Choice

Which of the following might represent the goals of shareholders?

• A)The company should provide high quality products and services at the most reasonable prices possible.
• B)The company should maintain a healthy financial posture and a policy of on-time payment of debt.
• C)The company should produce a higher-than-average return on equity.
• D)The company should provide goods and services with minimum environmental costs,increase employment opportunities,and contributing to social and charitable causes.

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Definitions:

Premiums

The amounts paid for insurance coverage by the insured to the insurance company.

Insurable Interest

A basic requirement for the issuance of an insurance policy, indicating that the person purchasing the policy has a stake in the safety or preservation of the insured item or person.

Equipment

Tangible assets used in the operation or activities of a business or entity, ranging from office supplies to machinery.

Arbitration Clause

A contract provision that requires parties to settle disputes through arbitration rather than litigation in courts.