Post Utme Abu 2022 Commerce Question 36

Practice objective / multiple choice question 36 from the 2022 Post Utme Abu Commerce examination.

Post Utme Abu 2022 Commerce Objective / Multiple Choice
Question 36 POST_UTME_ABU • 2022 • COMMERCE • objective

A company is considering two marketing strategies to promote its new product. Strategy A involves a high upfront cost of ₦5 million, but it is expected to generate ₦20 million in revenue over the next 6 months. Strategy B involves a lower upfront cost of ₦1 million, but it is expected to generate ₦10 million in revenue over the next 6 months. Which strategy has a higher expected return on investment (ROI)?

Answer Options

Correct Answer A. Strategy A
B. Strategy B
C. Both strategies have the same ROI
D. Neither strategy has a higher ROI
Correct Answer
A
Correct Option:
Strategy A

About This Question

This is Post Utme Abu 2022 Commerce Question 36. It is one of the objective questions from the 2022 Post Utme Abu Commerce examination.

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