Web• Pay-back period • Un even cash inflows • Post pay-back profitability method • Accounting rate of return or Average rate of return • Net present value • Internal rate of return • Excess present value index • Capital rationing; Risk and Uncertainly in Capital Budgeting WebWhich of the following methods does not consider the investment's profitability? a. ROR b. Payback c. NPV d. IRR; What are the disadvantages of using the payback period as a …

18 Major Advantages and Disadvantages of the Payback Period

Web22 Jun 2024 · Net present Value, Internal Rate Of Return, Profitability Index, Payback, dis... Akhil Sabu • 29.6k views Project management Anish Jojan • 621 views INVESTMENT DECISION Mohammed Jasir PV • 12k views Capital expenditure control Satish Bidgar • 6.1k views INVESTMENT DECISION AND RELATED PROBLEM Mohammed Jasir PV • 1.4k views WebPost Payback Profitability = Annual Cash Inflow (Estimated Life— Payback Period)The above formula is used if there is even cash inflow. In the case of uneven cash inflows, the … halfway calculator map

Accounting and Financial Management : Assignment

Web6 May 2024 · Payback Period = 500 / 90 This results in a payback period of 5.56 years. As you can see, it is a very simple calculation to run and conceptualize. The project will recoup its investment in a little over five and a half years. Payback Period Example with Uneven Cash Flows What about if cash flows are uneven? Web12 Sep 2015 · (ii) Post Pay-back Profitability Method – This method overcomes the limitations of payback period by considering cash inflows after the payback period. It considers the returns after the payback … WebPayback reciprocal = Annual average cash flow/Initial investment. For example, a project cost is $ 20,000, and annual cash flows are uniform at $4,000 per annum, and the life of the asset acquire is 5 years, then the … halfway coffee