Question

The goal of the business firms in a market economy is to maximize:

A. Profits
B. Sales
C. Consumer utility
D. Welfare

Answer 1

The answer is A.

Step-by-step explanation:

The goal of all business firms is to maximize profits. No business is set up just to be making losses. Even Not-for-profit companies are not being expected to be running at loss.

Maximizing profits increase shareholders's wealth.

Maximizing consumers's utility is from the perspective of customers. A customer is seeking yo maximize its utility.