Question
a.
Failure to consider the time value of money
b.
Discrimination against projects with substantial cash inflows in later years
c.
Ignoring cash inflows beyond the pay-back period
d.
Lack of indication of the liquidity position of the firm
Posted under IC 89 Management Accounting
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Q. What is one of the limitations of the Pay-back Method that the discounted payback period aims to overcome?
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