Post Utme Bowen University 2024 Economics Question 2

Practice objective / multiple choice question 2 from the 2024 Post Utme Bowen University Economics examination.

Post Utme Bowen University 2024 Economics Objective / Multiple Choice
Question 2 POST_UTME_BOWEN_UNIVERSITY • 2024 • ECONOMICS • objective

A firm is considering investing in a new project with an initial investment of ₦5,000,000 and expected annual profits of ₦1,200,000. If the firm's \cost of capital is 10%, calculate the net present value (NPV) of the project.

Answer Options

Correct Answer A. ₦4,500,000
B. ₦4,800,000
C. ₦5,000,000
D. ₦5,200,000
Correct Answer
A
Correct Option:
₦4,500,000

About This Question

This is Post Utme Bowen University 2024 Economics Question 2. It is one of the objective questions from the 2024 Post Utme Bowen University Economics examination.

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