Should a corporation ration its capital when its projects earn more than the cost of capital?

A corporation should generally not ration its capital if its projects consistently earn more than the cost of capital, as this indicates that the projects are creating value and contributing positively to shareholder wealth. Rationing capital in such scenariOS could lead to missed growth opportunities and reduced overall profitability. However, if there are constraints on available funding or if the corporation anticipates better investment opportunities in the future, it might consider rationing as a strategic choice. Ultimately, the decision should align with the company's long-term financial goals and market conditions.