Post Utme Afe Babalola University 2018 Commerce Question 13
Practice objective / multiple choice question 13 from the 2018 Post Utme Afe Babalola University Commerce examination.
A sole trader is considering expanding its business by opening a new branch. The new branch will require an initial investment of ₦1,000,000 and will generate additional revenue of ₦500,000 per year. If the sole trader's current profit is ₦200,000 per year, what is the minimum required rate of return on the investment to justify the expansion?
Answer Options
About This Question
This is Post Utme Afe Babalola University 2018 Commerce Question 13. It is one of the objective questions from the 2018 Post Utme Afe Babalola University Commerce examination.
Master the Exam!
You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.