3107. The market value of the firm is the result of __________.

dividend decisions
working capital decisions
capital budgeting decisions
trade-off between cost and risk
✅ The correct answer is D.
The market value of the firm is the result of trade-off between cost and risk. Market value is the price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization of a publicly traded company, and is obtained by multiplying the number of its outstanding shares by the current share price.

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