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Why would a financial manager use the overall cost

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Reference no: EM13295108

1.       Why would a financial manager use the overall cost of capital for investment decisions when the specific decision under consideration may be funded by only one source of capital, (e.g., debt or equity)

2.  If a corporation has projects that earn more than the cost of capital, does it need to ration capital?

 

 

Reference no: EM13295108

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