Which of the following BEST describes the term capital rationing?
A) When a company's resources are limited, it is choosing between alternative investment opportunities.
B) When a company has limited resources, it is finding ways to cut operating costs.
C) When a company is encountering cash flow shortages, it is finding ways of increasing revenues.
D) When a company has unlimited resources, it is finding the most number of profitable investment opportunities.
Correct Answer:
Verified
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