Question: What are the cash flow patterns assumed by the payback method and the net present value method? Both the net present value method and the
What are the cash flow patterns assumed by the payback method and the net present value method?
Both the net present value method and the payback method assume that cash flows are earned at the end of the year.
The payback method assumes that cash flows are earned at the end of the year and the net present value method assumes that cash flows are earned evenly throughout the year.
Bc
Both the net present value method and the payback method assume that cash flows are earned evenly throughout the year:
The net present value method assumes that cash flows are carted at the end of the year and the payback method assumes that cash flows are camed evenly throughout whe yeur
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