The Primary Goal of a Financial Manager Is ________

question 41

Multiple Choice

The primary goal of a financial manager is ________.

• A) minimizing risk
• B) maximizing profit
• C) maximizing wealth
• D) minimizing return

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Definitions:

Volume Variance

The difference between the budgeted and actual volume of production, affecting the budgeted levels of costs or revenues.

Budgeted

The process of creating a plan for a company's financial operations, encompassing revenue, expenses, and capital usage.

Direct Labor-Hours

A measure of the total hours worked by employees who are directly involved in the manufacturing or production process.

Fixed Manufacturing Overhead

The portion of manufacturing overhead costs that remain constant regardless of the level of production, such as rent and salaries of permanent staff.