Neither the Payback Period nor the Rate of Return Capital

question 43

True/False

Neither the payback period nor the rate of return capital budgeting method recognizes the time value of money.

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Definitions:

Hydrogen Bonds

Weak bonds between a hydrogen atom in one molecule and an electronegative atom (often oxygen or nitrogen) in another, important in the structure of water and DNA.

Carbon Atom

The fundamental chemical element with symbol C, essential to all known life forms and the basis of organic chemistry.

Carboxyl Group

A weakly acidic functional group; abbreviated —COOH.

Ionized

Refers to an atom or molecule that has gained or lost electrons, thus acquiring a charge and becoming an ion.