Explain why payback analysis may favor an alternative with a shorter payback period when it is not

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Explain why payback analysis may favor an alternative with a shorter payback period when it is not the better choice economically.

Payback Period
Payback period method is a traditional method/ approach of capital budgeting. It is the simple and widely used quantitative method of Investment evaluation. Payback period is typically used to evaluate projects or investments before undergoing them,...
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Engineering economy

ISBN: 978-0073376301

7th Edition

Authors: Leland Blank, Anthony Tarquin

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