The Optimal Level of Working Capital Investment Is the Level

question 78

Multiple Choice

The optimal level of working capital investment is the level that is expected to _____.

• A) maximize return on total assets
• B) maximize earnings per share
• C) maximize shareholder wealth
• D) minimize interest expenses

---

Definitions:

Utility Analysis

A method of determining the gain or loss that results from different approaches.

Moving Companies

Businesses specialized in relocating household or office contents from one location to another, offering packing, moving, and sometimes storage services.

Charges

Fees or prices asked for goods or services, or the formal accusations of wrongdoing.

Survival Of Venture

The continued existence and viability of a business enterprise, especially in the face of challenges and competition.