Which of the following is true? OOne benefit of being a publicly traded firm is
ID: 2819112 • Letter: W
Question
Which of the following is true? OOne benefit of being a publicly traded firm is that share price is easily observed so measuring firm performance is easy. Equity issuances are always good for shareholders because equity issuances increase the size of equity. O Share price maximization as a goal for a corporation suffers from myopia because it ignores future performance of the firm OA one-for-two reverse stock-split halves the number of shares but doubles the share price and is therefore always in the interest of shareholders.Explanation / Answer
Option c. Share price maximisation as a goal for a corporation suffers from myopia because it ignores future performance of the firm.(Correct Option)
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