Which one of the following statements related to payback and discounted payback is correct?
A. Payback is a better method of analysis than is discounted payback.
B. Discounted payback is used more frequently in business than is payback.
C. Discounted payback does not require a cutoff point like the payback method does.
D. Discounted payback is biased towards long-term projects while payback is biased towards short-term projects.
E. Payback is used more frequently even though discounted payback is a better method.
Answer: E