Disadvantage of the regular payback method

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Which of the following statements is NOT a disadvantage of the regular payback method?

Ignores cash flows beyond the payback period.

Does not directly account for the time value of money,

Does not provide any indication regarding a project s liquidity or risk.

Does not take account of differences in sire among projects-

Lacks an objective, market-determined benchmark for making decisions.

Reference no: EM13934750

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