The capital market may not be able to fund all of a firm's positive NPV project because
A) the capital market will always speculate that it is not going to get a fair return.
B) even the capital market has a constraint for the amount of capital that it can supply a firm.
C) it can be difficult for outside investors to accurately assess the risks and returns associated with the firm's projects.
D) none of the above.
Correct Answer:
Verified
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