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Author Question: Which of the following statements is a major disadvantage of the payback method? (Read 39 times)

swande

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on: Aug 7, 2023
Which of the following statements is a major disadvantage of the payback method?

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The payback criterion is useless as a risk indicator.


◦

The payback method ignores the cash flows beyond the payback period.


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The payback method doesn’t directly account for the time value of money.


◦

Answers b and c are correct.

Financial Management: Theory and Practice ¦ Brigham, Ehrhardt, Gessaroli, Nason ¦ 4th Edition
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Marked as best answer by swande on Aug 7, 2023

mllong

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Reply #1 on: Aug 7, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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Only 39% of students answer this correctly


swande

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Reply 2 on: Aug 7, 2023
Great answer, keep it coming :)

softEldritch

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Reply 3 on: Yesterday
Gracias!

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