Given the goals of firm value and shareholder wealth maximization, we have stressed the importance of net present value (NPV). And yet, many financial decision-makers at some of the most prominent firms in the world continue to use less desirable measures such as the payback period and the average accounting return (AAR). Why do you think this is the case?

Answer rating: 100% (QA)

This is still the case because the firm always uses its simplest way to show the firm valu... View the full answer