Financial Managers Evaluating Decision Alternatives or Potential Actions Must Consider

question 108

Multiple Choice

Financial managers evaluating decision alternatives or potential actions must consider

• A) only risk.
• B) only return.
• C) both risk and return.
• D) risk, return, and the impact on share price.

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Definitions:

Macroeconomics

The branch of economics that studies the behavior and performance of an economy as a whole, focusing on aggregate phenomena such as inflation, national income, and unemployment.

Intermediate Goods

Products used in the production process of final goods but not part of the final product.

Final Goods

Products that have completed the production process and are ready for sale to the end consumer, not to be further processed or resold.

Macroeconomics

Macroeconomics is the branch of economics that examines the behavior and performance of an economy as a whole, focusing on aggregate outcomes such as economic growth, inflation, and unemployment.