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The Primary Difference Between the Simple Payback Period and the Discounted

Question 45

Multiple Choice

The primary difference between the simple payback period and the discounted payback period is


A) the simple method puts cash flows into present value terms while the discounted method does not.
B) the discounted method puts cash flows into present value terms while the simple method does not.
C) The simple method uses a non-uniform cash flows approach, and the discounted method does not.
D) The discounted method uses a non-uniform cash flows approach, and the simple method does not.

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