lease or buy

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    I don’t understand when they say the project is either divisible or non-divisible. clarify for me please

    Avatar of John Moffat
    John Moffat
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    Divisible / non-divisible applies to capital rationing questions.

    If they are divisible then you can do fractions of projects (e.g. half a project). If they are non-divisible then you can only do the whole project (or not do it at all).

    If you watch my lecture on capital rationing it explains the effect of this on the solution.

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