145k views
2 votes
Over the life of a firm, the capital invested in the firm by the shareholders plus the income of the firm will reflect:

User Holmberd
by
5.7k points

1 Answer

3 votes

Answer:

the value of the firm to shareholders

Step-by-step explanation:

The firm value to the shareholders means the value in terms of the capital invested in the firm by the shareholders and the firm income

In equation form

Firm value to the shareholders = Capital invested + firm income

Therefore the second option is correct

Hence, the same is to be considered

And all the other options are incorrect

User Joe Martinez
by
5.7k points