Which of the following is an advantage of using the payback period method for project selection? The payback period method considers the time value of money The payback period method considers accounting income The payback period method shows when funds will be available for reinvestment The payback period method ignores the time value of money

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter19: Capital Investment
Section: Chapter Questions
Problem 20E
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Which of the following is an advantage of using the payback period method for project selection?

The payback period method considers the time value of money

The payback period method considers accounting income

The payback period method shows when funds will be available for reinvestment

The payback period method ignores the time value of money

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