Which of the Statements Below Is FALSE

question 2

Multiple Choice

Which of the statements below is FALSE?

• A)In order to account for the time value of money with the Payback Period Model,the future cash flow needs to be restated in current dollars.
• B)The Discounted Payback Period method is the time it takes to recover the initial investment in current dollars.
• C)When we discount a future cash flow with our standard time-value-of-money concepts,we inherently assume that the entire cash flow was received at the end of the year.
• D)The Payback Period method (with no discounting)is the dollar amount that it takes to recover the initial investment in current dollars.