Solution-Which statements is false with regard to the

Which statements is false with regard to the payback method

Assignment Help Cost Accounting

Reference no: EM132548795

Question 1: With regard to the Payback Method, which of the following statements is FALSE?

Option 1: The Payback Method effectively serves as a screening tool, allowing managers to set a payback period threshold and then evaluate investments on other factors.

Option 2: The Payback Method ignores cash flows that fall after the payback period, meaning decisions based solely on the payback period might forgo potential financial benefits that could be realized later in the investment life.

Option 3: The Payback Method ignores the time value of money, making inferences over long periods of time less realistic.

Option 4: The Payback Method helps managers learn the shortest payback period on an investment because a shorter payback period generally means a more desirable investment.

Reference no: EM132548795

Questions Cloud

Examination prior to receiving a life policy : If there are two insurance companies, the first company requires it's applicants to submit to a physical examination

Which regarding differential versus total cost approaches : Which regarding differential versus total cost approaches? With regard to the discount rate and the net present value method, which of the statements true?

Making the competitive range determination : Discuss the latitude a contracting officer has when making the competitive range determination.

Regarding The Taylor Rule : Given the same situation in part b, when facing supply shocks, would the use of the Taylor rule tend to be stabilizing, destabilizing,

Which statements is false with regard to the payback method : Which statements is FALSE With regard to the Payback Method? The Payback Method effectively serves as a screening tool, allowing managers

One experience leading person or group : Discuss one experience you have had with coaching a person or a group and one experience leading a person or group.

Business entry for imperfect competition firms : Use the graph below to explain the output, profit and loss conditions for monopolistically competitive firms. Show your work

What are examples of project valuation methods : What are 4 examples of project valuation methods? And what is the overal fnction of valuation methods in capital budgeting? why is capital budgeting important?

Compute answers using the pv table provided : Compute your answers using the PV Table provided. If you don't have a copy of the PV Table accessible, you may access one here

User Account

All Pages

Which statements is false with regard to the payback method

Reference no: EM132548795

Reference no: EM132548795

Questions Cloud

Reviews

Write a Review

Cost Accounting Questions & Answers

Cost accounting assignment

Prepare the journal entries

Advise as to the liability of all the parties

Prepare revenues budget

Effect of exchange rate changes on cash and cash

Corporate governance

Cost-benefit analysis

Non-annual interest rates and annuities

Job costing in service organizations

Accounting for bad debt expense

Accounting and partnership problems

Development of relevant cash flows

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT