Post Utme Coal City University 2020 Commerce Question 27

Practice objective / multiple choice question 27 from the 2020 Post Utme Coal City University Commerce examination.

Post Utme Coal City University 2020 Commerce Objective / Multiple Choice
Question 27 POST_UTME_COAL_CITY_UNIVERSITY • 2020 • COMMERCE • objective

A company is considering the purchase of a new machine. The machine has a cost of ₦1,500,000 and is expected to last for 5 years. The company expects to save ₦200,000 per year by using the machine. What is the net present value of the machine?

Answer Options

Correct Answer A. ₦1,000,000
B. ₦1,200,000
C. ₦1,500,000
D. ₦2,000,000
Correct Answer
A
Correct Option:
₦1,000,000

About This Question

This is Post Utme Coal City University 2020 Commerce Question 27. It is one of the objective questions from the 2020 Post Utme Coal City University Commerce examination.

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