People do business for profits. maximizing short-term profits may maximize long-term profits, IF the growth rate in profit is less than the interest rate and both are constant, maximizing current (short-term) profits is the same as maximizing (long-term) profits
This is simply known as the act where the maximizing of short-term profits may also maximize long-term profits.
When the growth rate in profit is said to be lower than the interest rate and both are the same, maximizing current such as short-term profits is still the same as maximizing such as long-term profits.
Companies often pay their dividends so as to share profits to shareholders, which also act as a pointer to corporate health and income growth to investors.
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