Which of These Is Not Generally Regarded as an Advantage

question 27

Multiple Choice

Which of these is not generally regarded as an advantage of the payback method?

• A)It emphasises early cash flows which have greater certainty.
• B)It emphasises liquidity.
• C)It minimises having to forecast too far into the future.
• D)It avoids having to take into account the time value of money.

---

Definitions:

Uniform Commercial Code

A comprehensive set of laws governing commercial transactions in the United States, aimed at standardizing practices across states.

Business Activities

All actions undertaken by a company as part of its commercial, industrial, or professional operations, including production, selling, and administration.

Sales Laws

Regulations governing the sale of goods and services, including terms of contracts, warranties, and consumer protections.

Executive Branch

The division of a government responsible for implementing and enforcing laws, typically led by the President or Prime Minister.