Payback Period Meaning

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Payback Period Meaning Under payback method an investment project is accepted or rejected on the basis of payback period Payback period means the period of time that a project requires to recover

The Payback Period shows how long it takes for a business to recoup an investment This type of analysis allows firms to compare alternative investment opportunities and decide on a project Payback period can be defined as period of time required to recover its initial cost and expenses and cost of investment done for project to reach at time where there is no loss no profit i e

Payback Period Meaning

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The payback period is a simple measure of how long it takes for a company to recover its initial investment in a project from the project s expected future cash inflows It PAYBACK PERIOD definition 1 the amount of time it takes to get back the amount of money originally invested in something 2 Learn more

1 Definition The payback period refers to the length of time required to recoup the initial investment through the cash flows generated by the investment project It is often The payback period is the time required to recover the initial cost of an investment It is the number of years it would take to get back the initial investment made for a project

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Definition Payback period also called PBP is the amount of time it takes for an investment s cash flows to equal its initial cost In other words it s the amount of time it takes for an The payback period is when it takes to pay back the money invested in an investment It indicates how long an asset such as a machine or plant will take to make enough profit to repay the

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Under payback method an investment project is accepted or rejected on the basis of payback period Payback period means the period of time that a project requires to recover

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Payback Period Learn How To Use amp Calculate The Payback Period

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The Payback Period shows how long it takes for a business to recoup an investment This type of analysis allows firms to compare alternative investment opportunities and decide on a project


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Payback Period Meaning - The payback period is the time required to recover the initial cost of an investment It is the number of years it would take to get back the initial investment made for a project