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Vyaderm Case. April 27, 2006. EVA Calculation: Dermatology. Calculation of Bonus. Goals of Financial Management. Maximize shareholders’ wealth Harmonize managers of many units of firm Connect managers’ decision to overall corporate goals in lower divisions
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Vyaderm Case April 27, 2006
Goals of Financial Management • Maximize shareholders’ wealth • Harmonize managers of many units of firm • Connect managers’ decision to overall corporate goals in lower divisions • Managers must perceive relation between their decisions, corporate goals, and compensation • Financial theory must be tempered by common sense