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Exam Question

All of the following are true regarding capital rationing except

  • 1) it places on artificial constraint on funds that many be invested
  • 2) it may result out of a fear of growth
  • 3) it may result out of a hesitation to use external sources of funds
  • 4) it will help the overall profitability of the firms

View Answer

Answer 4) it will help the overall profitability of the firms

Practice set and Exam Quiz

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