Economics · Financial Management
Statement I: Net Present Value (NPV) method considers the time value of money. Statement II: Payback period method ignores cash flows occurring after the payback period.
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Statement I is incorrect but Statement II is correct.
- 2Statement I is correct but Statement II is incorrect.
- 3Both Statement I and Statement II are incorrect.
- 4Both Statement I and Statement II are correct.✓
Correct answer
Both Statement I and Statement II are correct.
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