Which of the Following Statements About the "Payback Period" Is

question 133

Multiple Choice

Which of the following statements about the "payback period" is true?

• A) The payback period considers cash flows after the payback has been reached.
• B) The payback period does not consider the time value of money.
• C) The payback period uses discounted cash-flow techniques.
• D) The payback period generally leads to the same decision as other investment selection methods.

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