A technique for determining if and when an investment will pay for itself.
advantages of payback period?
Simple payback method do not care about the time-value of money principle while discounted payback period do take care of this principle in calculation.
There are a few different advantages and disadvantages of payback. Payback can help ensure that there is further action in a case for example.
How is the method superior to the payback method
the payback method ... is a method to evaluate the project in capital budgeting ... or simply in a long term dicision making for the entity .and because it is a long term in nature ..... the risk is high ... by evaluatining methods ... we try to reduce the uncertinity ... one of the methods ...is payback method . the disadvantage of the payback method is ...it does not concern with the time value of money theory ....the second one is ...it ignore the incash flow and the outcash flow of the project , after the payback period .
Formula for the Payback Period. Payback period = Initial investment / Annual Cash inflows
advantages of payback period?
Payback was released on 02/05/1999.
The Production Budget for Payback was $50,000,000.
The Payback was created on -19-10-02.
Payback Time was created in 2000.
Simple payback method do not care about the time-value of money principle while discounted payback period do take care of this principle in calculation.
There are a few different advantages and disadvantages of payback. Payback can help ensure that there is further action in a case for example.
if its a friend is it seriously necessary to get payback? =s
payback period , it is to pay your period on time jajajaja
The duration of Payback Season is 1.52 hours.
discounted payback period