FUND. ACCOUNTING PRINCIPLES >CUSTOM<
FUND. ACCOUNTING PRINCIPLES >CUSTOM<
24th Edition
ISBN: 9781307417692
Author: Wild
Publisher: MCG/CREATE
Question
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Chapter 26, Problem 4DQ
To determine

Introduction:

Payback Period:

It refers to the time period required to take back or regain the amount invested. It is computed in relation to the initial investment and inflow of cash per period. The project feasibility is assured if the payback period is less than the targeted period of returns on investment.

To state:

The disadvantages of using the payback period comparing investments

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