Saylor BUS105 Exam - Topic 10 Question 1 Discussion

Actual exam question for Saylor's BUS105 exam

Question #: 1
Topic #: 10

Managers have several different methods from which to choose when evaluating long-term investments. Which method disregards the time value of money as a factor?

APayback

BAnnuity tables

CNet present value

DInternal rate of return

Show Suggested Answer

Suggested Answer: A

by Cathrine at Jul 03, 2025, 09:20 AM

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Janey

7 months ago

Yup, Payback is all about quick returns, not time.

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Arleen

7 months ago

Wait, are we sure about that? Seems off to me.

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Gerri

7 months ago

It's definitely the Payback method!

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Blondell

7 months ago

Totally agree, Payback ignores time value.

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Iola

7 months ago

I thought Annuity tables did too, but I guess not!

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Geraldo

8 months ago

I definitely recall that Net Present Value and Internal Rate of Return both factor in the time value of money, so it must be Payback.

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Daren

8 months ago

I’m a bit confused. I thought Annuity tables also didn’t consider time value, but maybe that’s just for certain calculations?

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Carlee

8 months ago

I remember practicing questions where Payback was mentioned as not considering the time value of money. It seems right to me.

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Loren

8 months ago

I think the method that disregards the time value of money is the Payback method, but I'm not entirely sure.

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Junita

9 months ago

Payback is the answer. It's the simplest method and the only one that doesn't factor in the time value of money.

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Earleen

9 months ago

Okay, I've got this. The payback method is the one that doesn't take the time value of money into account when evaluating long-term investments.

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Janna

9 months ago

I'm a bit confused on this one. I know the time value of money is an important factor, so I'm not sure which method would disregard that.

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Glenn

9 months ago

Payback! That's the one that just looks at how long it takes to recoup the initial investment, without considering the time value of money.

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Ocie

9 months ago

Hmm, this seems like a tricky one. I'll need to think carefully about the different investment evaluation methods and which one disregards the time value of money.

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Gerald

11 months ago

Payback method? Is this a trick question or something? That's like trying to win the lottery without buying a ticket. Come on, let's get serious here.

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Shenika

11 months ago

Wait, are we actually discussing finance methods that don't consider the time value of money? That's like trying to fly a plane without fuel. Good luck with that one, guys.

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James

11 months ago

Internal rate of return, baby! That's the way to go. Forget about the time value of money, we're living in the moment here. Who needs to plan for the future, anyway?

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Ceola

11 months ago

Annuity tables? Pfft, what is this, the Stone Age? Net present value is where it's at, people. That's the way to go if you want to make some serious dough.

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