question archive Capital rationing implies that A

Capital rationing implies that A

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Capital rationing implies that A. the available capital will be allocated equally to all available projects B. funding needs is equal to funding resources C. a firm has constraint to fund all of the available projects D. None of the above

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Anss.

Capital rationing implies that

C) a firm has constraint to fund all of the available projects.

This means the firm does not have enough resources to fund all of the available projects.

So correct option is C.