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Business, 13.01.2021 18:10 Raquelerol

All of the following are weaknesses of the payback period: (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) check all that apply it uses cash flows, not income, unanswered it is easy to use. unanswered it ignores all cash flows after the payback period. unanswered it ignores the time value of money.

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ansver
Answer from: balancingmist1827

it ignores all cash flows after the payback period.

it ignores the time value of money.

Explanation:

Payback calculates the amount of time it takes to recover the amount invested in a project from it cumulative cash flows

example of the payback method.

10,000 is invested in a project. The cash flows in year 1 is 10,000. The cash flow in year 2 and 3 is 5000.

The payback period is 1 year because 10,000 is recovered in the first year.

The cash flows in year 2 and 3 are ignored in this calculation.

The payback method using cash flows and not income is an advantage.

The payback method ignores the time value of money but the discounted cash flow method doesn't

ansver
Answer from: Quest
This is true for sure
ansver
Answer from: Quest

the answer is account d

Which account has the lowest minimum balance requirement? bank account terms and conditions account

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