Soft capital rationing is imposed upon a firm by _____,while hard capital rationing is imposed by _____.
A) management; the capital market.
B) the capital market; management.
C) the government; the capital market.
D) the capital market; the government.

Question

Quizplus · Accepted Answer

Soft capital rationing is imposed by management, which is usually due to internal policies or constraints. On the other hand, hard capital rationing is imposed by external factors such as the capital market, where funds may not be available or accessible due to market conditions, regulations or economic factors.

Soft Capital Rationing Is Imposed Upon a Firm by _____,While