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Regarding capital rationing decisions for capital assets, which of the following is true ? A. Companies should always choose the investment with the shortest payback

Regarding capital rationing decisions for capital assets, which of the following is

true?

A.

Companies should always choose the investment with the shortest payback period.

B.

Companies should always choose the investment with the highest NPV.

C.

Companies should always choose the investment with the highest ARR.

D.

None of the above are true.

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