Question: 4. The payback period method: a. determines a cutoff point so that all projects accepted by the NPV rule will be accepted by the payback

4. The payback period method:

a. determines a cutoff point so that all projects accepted by the NPV rule will be accepted by the payback period rule

b. apply the time value of money principle

c. provides a quick estimate of how rapidly the initial investment will be recovered

d. always uses all cash flows in its calculation

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