A major disadvantage of the payback period method

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Reference no: EM131458428

A major disadvantage of the payback period method is that it

a. Is useless as a risk indicator.

b. Ignores cash flows beyond the payback period.

c. Does not directly account for the time value of money.

d. Statements b and c are correct.

e. All of the statements above are correct.

Reference no: EM131458428

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