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Differences with Maximizing Profits instead of stock price--FINAN 450 (#5)

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cmarquardt94's version from 2017-01-23 15:47

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Question Answer
what are the two differences with maximizing profits instead of stock price?Timing & Risk
what do we mean by "timing" ? in terms of profits and stock pricesProfits are short-term by nature; stock prices are forward-looking
what is the second Difference with maximizing profits instead of stock price?unacceptable risks occasionally play out OK in the short-term but rarely consistently over time
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