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

Working of i.c. engine, WORKING OF I.C. ENGINE Basically there are 2 ty...

WORKING OF I.C. ENGINE Basically there are 2 types of internal combustion engines; the two stoke type and the 4-stroke type. A brief description of these is given below: 1.

Modulus of rupture, description about modulus of rupture machine & differen...

description about modulus of rupture machine & different parts of bending strength machine

Biology, Any Biology Modeling software?

Any Biology Modeling software?

Output characteristics , OUTPUT CHARACTERISTICS: Figure shows a "Common...

OUTPUT CHARACTERISTICS: Figure shows a "Common Emitter" amplifier stage. Common Emitter Amplifier Stage With no base/emitter bias applied, there will be no collector

Construction techonology, ASSIGNMENT

ASSIGNMENT

Water haedness, hardness of bore well water is less than sea water

hardness of bore well water is less than sea water

project on gas leakage detection, can any one please help with virtual cir...

can any one please help with virtual circuit simulation

syed, risks involved in moving from a project-centric mode to a mix of pro...

risks involved in moving from a project-centric mode to a mix of projects and

Who is a more senior creditor, Who is a more senior creditor, a bondholder ...

Who is a more senior creditor, a bondholder or stockholder? The bondholder is always more mature. Stockholders (including those who own recommended stock) must delay until bond

power factor improvement, How to improve power facto

How to improve power factor

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