Which of the Following Is a Disadvantage of the Cash

question 113

Multiple Choice

Which of the following is a disadvantage of the cash payback technique?

• A) It is difficult to calculate
• B) It relies on the time value of money
• C) It can only be calculated when there are equal annual net cash flows
• D) It ignores the expected profitability of a project

---

Definitions:

Related Group

A set of individuals or entities connected by common interests, goals, or characteristics, often used in the context of organizational departments or familial relations.

Create Value

The process of producing goods or services that have greater worth than the cost of inputs, resulting in a beneficial outcome for businesses or consumers.

Process Value Analysis

An examination method aimed at improving processes by identifying and eliminating non-value-adding activities, enhancing efficiency and effectiveness.

Core Processes

The critical operations or activities that are central to an organization’s purpose and often directly linked to its success or failure.