Payback period method, finance, Other Engineering

Payback period method, finance, Other Engineering

Assignment Help:

Non-discounted cash flow method,

Payback period method
In this method, time value of money is not considered. It takes into account the number of years required to recover the initial investment of a project (Harold Bierman, Seymour Smidt, 2006).
Accept Reject Rule:
Accept the project with lowest payback period.
Reject the project with highest payback period.
Merits:
1. Simple and easy to calculate
2. Less costly to use
3. Less time consuming
De-merits:
1. Time value of money is completely ignored.
2. Does not consider the cash flow generated after payback period.

Related Discussions:- Payback period method, finance

Optics, If the light source in figure 12.1 (see figure below) of the Warren...

If the light source in figure 12.1 (see figure below) of the Warren Smith text is replaced by a 100W light bulb, and the lens aperture is 20cm, what would the 1cm detector at point

Engineering mechanics questions, I need help in engineering mechanics quest...

I need help in engineering mechanics questions? Do you provide homework help, Please let us know how do i get it quich time...

Exhaust jet mixing - aircraft design, Exhaust Jet Mixing: Figure shows ...

Exhaust Jet Mixing: Figure shows that the noise from the exhaust jet is the main contributor to the total noise generated by a low by-pass ratio turbo-fan. For a turbo-jet the

MBA Financial management, Need urgent help with Financial Management homewo...

Need urgent help with Financial Management homework assignment - evaluating company "Billabong". Due Fri 8 June (Sydney, australia time).

Gas Furnace, Furnace limit switches are wired in series with the?

Furnace limit switches are wired in series with the?

High level design for an SME network, my course is master in telecommunicat...

my course is master in telecommunication and i need it today is it possible?

Propeller governing mode, Propeller governing mode: The speed lever is ...

Propeller governing mode: The speed lever is placed in the high position. The engine is operating at 97 percent. As the power lever is advanced ahead of the flight idle deten

Aeroengine - axial flow compressor , An axial-flow air compressor consists ...

An axial-flow air compressor consists of 10 rotor/stator stages each built from p gblades of identical cross-section and designed such that the axial velocity is constant throughou

Aerospace vehicle tsructures, construction of mohrs circle

construction of mohrs circle

Aerospace Engineering, Define the aircraft axes & degrees of freedom. Analy...

Define the aircraft axes & degrees of freedom. Analyse the different maneuvers that can be done by an aircraft.

Write Your Message!

Name

Email id

Message

Verfication Code

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!

Submit Assignment

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