8) True,
PBP stands for payback period and is defined as the time period required to recover the invested money either in a firm or a commodity.
While DPBP stands for discounted payback period and is defined as the time period required to recover the invested money with time value of money.
The statement is true because the time value of money means, the value of same amount of money has more value in future than present, so DPBP can be greater than or equal to the PBP. As DPBP can account for more return than PBP to fulfill time value of money.
9)true, because
true or false?: For Payback period (PBP) the final decision that results from the calculations will be equivalent to other accurate methods such as NPW, EUAB, ROR, and B/C
9. True or False: Assuming Var (21) > 0, the inconsistency in 8, is negative if x and the error term are positively related 2. True b. False
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for payback period (pbp) the final decision that results from calculations will be equivalent to other accurate methods, such as NPW, EUAB, ROR, and B/C analysis. True or false?
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