Which of the Following Is NOT a True Statement

Multiple Choice

Which of the following is NOT a true statement?

A) The payback rule ignores the time value of money.
B) The discounted payback rule requires a cutoff hurdle be set.
C) The profitability index is closely related to the payback period.
D) The AAR is based on accounting data.
E) There may be multiple IRRs for an independent project.