The Payback method is widely used in capital budgeting because is its simple and does a good

Question:

The Payback method is widely used in because is its simple and does a good job of determining the correct accept/reject decision.
1. True
2. False

Capital Budgeting
Capital budgeting is a practice or method of analyzing investment decisions in capital expenditure, which is incurred at a point of time but benefits are yielded in future usually after one year or more, and incurred to obtain or improve the...