While the NPV approach offers many advantages over some other capital budgeting techniques,several cons exist with respect to the approach.Which of the following is (are)cons of the NPV method?

Question

Quizplus · Accepted Answer

The NPV (Net Present Value) method does consider all of a project's relevant cash flows and the time value of money, and it focuses on cash flows rather than net income. However, it is often seen as less intuitive to many users compared to other methods like the payback period or the internal rate of return (IRR), which can be easier to understand without a financial background.

While the NPV Approach Offers Many Advantages Over Some Other