Post Utme Bells University 2021 Commerce Question 16

Practice objective / multiple choice question 16 from the 2021 Post Utme Bells University Commerce examination.

Post Utme Bells University 2021 Commerce Objective / Multiple Choice
Question 16 POST_UTME_BELLS_UNIVERSITY • 2021 • COMMERCE • objective

A company is considering two different marketing strategies to promote its new product. Strategy A involves a high upfront cost of ₦1.5 million, but it is expected to generate a profit of ₦2.5 million in the first year. Strategy B involves a lower upfront cost of ₦500,000, but it is expected to generate a profit of ₦1.8 million in the first year. Which strategy should the company choose?

Answer Options

Correct Answer A. Strategy A
B. Strategy B
C. Both strategies are equally profitable
D. Neither strategy is profitable
Correct Answer
A
Correct Option:
Strategy A

About This Question

This is Post Utme Bells University 2021 Commerce Question 16. It is one of the objective questions from the 2021 Post Utme Bells University Commerce examination.

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