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Wealth Maximisation Decision Criterion
This is also called as value maximisation or net present worth maximisation. Presently academic literature value maximisation is almost universally accepted as an appropriate operations decision criterion for financial management decisions as it removes technical limitations that characterise earlier profit maximisation criterion. Its operational features satisfy all three requirement of a suitable operation objective of financial courses of action, namely, quality of benefits, exactness and time value of money.
Assume today is 3 December 2009. Helen is 30 years old and has a Bachelor of Business. She is currently employed as a personal banker for ANZ banking group in Sydney and earns $380
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