Companies Usually Accept the Project with the ________ When Using

question 44

Multiple Choice

Companies usually accept the project with the ________ when using the payback method to determine a project's economic feasibility.

• A)longest payback period
• B)weighted average payback period
• C)payback period that is equal to the project's economic life
• D)shortest payback period

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Definitions:

Future Costs

These are costs expected to be incurred in the future as a result of current or future actions.

Alternatives

Different options or strategies available for achieving a specific goal or solving a problem.

Relevant

Pertinent or directly connected to the matter at hand, especially in the context of decision-making where only factors that affect the decision are considered.

Avoidable Cost

Expenses that can be eliminated if a particular decision is made or if a business operation is discontinued.