Question: Shareholders' wealth will decrease if: a. The firm earns positive earnings on shareholders' equity below those required by shareholders b. The firm earns negative residual

Shareholders' wealth will decrease if: a. The firm earns positive earnings

Shareholders' wealth will decrease if: a. The firm earns positive earnings on shareholders' equity below those required by shareholders b. The firm earns negative residual earnings on shareholders' equity Oc. a & b d. The firm earns a return on shareholders' equity greater than what they require e. None of the above

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