What is meant by the term payback period? How is the payback period determined? How can the

Question:

What is meant by the term payback period? How is the payback period determined? How can the payback method be useful?

Payback Period
Payback period method is a traditional method/ approach of capital budgeting. It is the simple and widely used quantitative method of Investment evaluation. Payback period is typically used to evaluate projects or investments before undergoing them,...