4:14 elearning.act.edu.om 10 Statement 1: Payback period takes into account the time value of money and uses cash flows rather than accounting profits. Statement 2: Internal rate of return takes into account the time value of money and uses cash flows rather than accounting profits. Which of the above statements is/are true? Statement 1 only 2: Statement 1 only Neither statement 1 nor statement 2 Both statement 1 and statement 2