Explain the disadvantages of payback period

Assignment Help Accounting Basics
Reference no: EM132761502

Question: The payback period is the time a project will take to pay back the money spent on it. It is based on expected cash flows and provide a measure of liquidity. State the advantages and disadvantages of Payback period. The response must be typed, double spaced, times new roman, font size 12 and must follow APA format.

Reference no: EM132761502

Questions Cloud

What is the issue price if they are to yield : On January 1, 2000. Wake Enterprises issued $1,500,000 of 4% 7-year bonds. Interest payable semiannually one June 30 and December 31.
Tryptophan metabolism in brain cells : What effect does aspirin have on tryptophan metabolism in brain cells?
What amount should donald corp capitalize as the cost : What amount should Donald Corp. capitalize as the cost of the new boiler? On January 2, 2019, Donald Corp. replaced its boiler with a more efficient one.
What possible sexually transmitted virus is involved : What possible sexually transmitted virus is involved? How should the physician treat the lesions? How could Dolores have protected herself?
Explain the disadvantages of payback period : The payback period is the time a project will take to pay back the money spent on it. It is based on expected cash flows and provide a measure of liquidity.
Calculate number of common shares which company would report : Calculate the number of common shares which the company would report for 2016 on the 2017 comparative financial statements.
What is the population density of the original sample : What is the population density of the original sample.
Compute the depreciation basis and annual depreciation : We assume that the company you selected is considering a new project. The project has 8 years' life. This project requires initial investment of $550 million.
Which species of bacteria does not possess cell wall : Enumerate the stuctures and importance of each structure in a bacterial cell. Which species of bacteria does not possess cell wall. How do they survive even wi

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd