Question

to evaluate a project which would be the most accurate measure NPV, IRR, or payback period...

to evaluate a project which would be the most accurate measure NPV, IRR, or payback period also which is the easiest to calculate without a computer

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Answer #1

NET PRESENT VALUE will be the BEST measure to calculate the acceptability or rejection of a project using capital budgeting method because net present value method is a method which will be used under various circumstances and it can even be used in case of uneven cash flows so it has an advantage over internal rate of return and other payback period because payback period will not be even considering the discounted cash flows and time value concept.

when we are calculating without a computer then the EASIEST method to calculate is payback period method because PAYBACK PERIOD method will not be even considering the time value of money so one will not need to discount the cash flows.

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