Question: 1 ) Choose the statement that is TRUE concerning the financial manager of a corporation. A ) Compensating financial managers with stock or stock -

1) Choose the statement that is TRUE concerning the financial
manager of a corporation.
A) Compensating financial managers with stock or stock-linked
securities induces them to act in shareholders' interests.
B) The goal of the financial manager should be to maximize earnings
per share.
C) Compensating financial managers with cash salaries and cash
bonuses induce them to act in shareholders' interests.
D) The goal of the financial manager should be to maximize revenues.
E) If financial managers maximize shareholder wealth, then the
corporation's employees and the environment would necessarily be
exploited and harmed.

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