A 633 (CoRPORATE FINANCIAL POLC) WINTER 2018 INSTRUCTOR: DARWIN C. JONES, CPA MS
ID: 1144406 • Letter: A
Question
A 633 (CoRPORATE FINANCIAL POLC) WINTER 2018 INSTRUCTOR: DARWIN C. JONES, CPA MS ASSIGNMENT 1 (GROUP ASSIGNMENT) 12.Do corporate decisions that increase the value of the firm's equity benefit society as a whole? a. Yes, as long as the value of the firm's equity increases, society is better off Yes, as long as the increase in the value of the firm's equity does not come at the expense of others. b. c. No, any gain in the value of the firm's equity is always less than the cost to society. d. No, any gains in the value of the frm's equity are perfectly offset by societal costs. 13. What are the three (3) basic forms of organizing a business? a. b. C.Explanation / Answer
Answer:- Do corporate decisions that increase the value of the firm's equity benefit society as a whole
Correct options:- Yes, As long as the increase in the value of the firm’s equity does not come at the expense of others.
Reason:- if the firm is creating the equity on its own resources without affecting the other stakeholder negatively then it will be creating a value for the society.
Answer:- There are three main types of business organizations: sole proprietorship, partnership and corporation.
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