Question: Why is maximizing profits not the same as maximizing shareholder wealth? The absolute value of profit maximization is less than the value of shareholder wealth

Why is maximizing profits not the same as maximizing shareholder wealth? The absolute value of profit maximization is less than the value of shareholder wealth maximization. Profit maximization lacks a time dimension and ignores risk. None of the choices is correct since maximizing profits is the same as maximizing shareholder wealth. Maximizing profits is a primary goal of a firm.

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