Capital rationing refers to the limiting of capital resources to underperforming divisions.

Name: Capital rationing refers to the limiting of capital resources to underperforming divisions.
Brand: Quizplus
Rating: 4.8 (37 reviews)

Question

Quizplus · Accepted Answer

Capital rationing refers to the practice of limiting the amount of available capital resources for all or certain projects in order to maximize shareholder value or achieve strategic goals. It does not necessarily target underperforming divisions exclusively.

Capital Rationing Refers to the Limiting of Capital Resources to Underperforming