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The payback method of analysis ignores which one of thefollowing? 1. Time value of money 2. Arbitrary cutoff point 3. Cash flow direction 4. Timing

The payback method of analysis ignores which one of thefollowing?

1. Time value of money

2. Arbitrary cutoff point

3. Cash flow direction

4. Timing of each cash inflow

5. Initial cost of an investment

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