Question: Identify the false statement regarding the cash payback period method: A. This method is generally used as an initial screening tool for new capital investments.

Identify the false statement regarding the cash payback period method:

A. This method is generally used as an initial screening tool for new capital investments.

B. This method fails to consider the profitability after the payback period has been reached.

C. This method does consider the time value of money in its computation.

D. Generally, management prefers a shorter payback period on its capital investments.

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