Final answer:
The primary goal of financial management is to maximize the current value of each common stock.
Step-by-step explanation:
The primary goal of financial management is to maximize the current value of each common stock. This means that the main objective of financial management is to increase the value of the company's shares in the stock market. By doing so, the company can attract more investors and potentially raise more funds for growth and expansion.
For example, a company can achieve this goal by implementing strategies such as improving profitability, increasing sales and market share, reducing costs, and making wise investment decisions. These actions can ultimately lead to an increase in the company's stock price, benefiting both the shareholders and the company.