The Payback Period Provides Information to Managers That Can Be

question 41

Multiple Choice

The payback period provides information to managers that can be used to help

• A) control the risks associated with the uncertainty of future cash flows.
• B) minimize the impact of an investment on a firm's liquidity problems.
• C) control the risk of obsolescence.
• D) control the effect of the investment on performance measures.
• E) All of these.

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Definitions:

Development

involves the process of growth, change, and progression in physical, emotional, intellectual, and social capabilities and understanding throughout the lifespan.

Archetype

In psychology, universally inherent, primordial patterns and images that form part of the collective unconscious.

Ego

In psychoanalytic theory, the part of the personality that mediates between desires, the conscience, and reality to make rational decisions.

Childhood

The period in a human's life that spans from birth to adolescence, characterized by growth, learning, and play.