The payback method considers cash flows that occur both during and after the payback period.

Name: The payback method considers cash flows that occur both during and after the payback period.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The payback method only considers the cash flows that occur during the payback period to determine how long it takes for an investment to pay back its initial cost, ignoring any cash flows that occur after the payback period.

The Payback Method Considers Cash Flows That Occur Both During