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

Decision table software engineering, Write a decision table that specifies ...

Write a decision table that specifies the rules for the game of checkers.

Electronics and communication, how to become good vlsi engineer

how to become good vlsi engineer

Nicol prism, nicol prism work

nicol prism work

Installing aircraft parts, Installing Aircraft Parts: Prior to fit remo...

Installing Aircraft Parts: Prior to fit remove the label from the engine and attach it to the paperwork for safekeeping. Check the engine over to ensure it is complete and chec

Cold shunt and misrun casting, Q. Discuss briefly the causes and remedies o...

Q. Discuss briefly the causes and remedies of misrun and cold shunts casting Cold Shunt and Misrun : When the metal is unable to fill the mould cavity completely and t

#title.electronic devices., Advantages and dis advantages of a diode in ser...

Advantages and dis advantages of a diode in series /shunt

Dislocations, What are impurities

What are impurities

Communication and scholarship, Illustrate the importance of communication i...

Illustrate the importance of communication in a retail business organisation?25 marks

Manufacturing technology, explain any two finishing processes in detail wit...

explain any two finishing processes in detail with neat diagram

Technical Paper, I need help summarizing a technical paper.

I need help summarizing a technical paper.

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