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Two firms with indentical capital intensity ratios are generating the same amount of sales. However, Firm A is operating at full capacity, while Firm B
Two firms with indentical capital intensity ratios are generating the same amount of sales. However, Firm A is operating at full capacity, while Firm B is operating below capacity. If the two firms expect the same growth in sales during the next period, then Firm A is likely to need more additional funds than Firm B, other things held constant. True or False
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