A limitation of the internal rate of return method is thatit: Does not consider the time value
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A limitation of the internal rate of return method is thatit:
Does not consider the time value of money.
Measures results in years.
Lacks ability to compare dissimilar projects.
Ignores varying risks over the life of a project.
Measures net income rather than cash flows.
Related Book For
Management And Cost Accounting
ISBN: 9781292232669
7th Edition
Authors: Alnoor Bhimani, Srikant M. Datar, Charles T. Horngren, Madhav V. Rajan
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