The ________ model incorporates the time-value of money but still ignores cash flows after the cutoff date.

Question

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The Discounted Payback Period model incorporates the time-value of money by discounting the cash flows, but it still ignores any cash flows that occur after the cutoff date. The Payback Period model ignores the time-value of money altogether. The IRR and Modified Internal Rate of Return models both consider all cash flows, including those after the cutoff date.

The ________ Model Incorporates the Time-Value of Money but Still