Post Utme Crawford University 2017 Geography Question 37

Practice objective / multiple choice question 37 from the 2017 Post Utme Crawford University Geography examination.

Post Utme Crawford University 2017 Geography Objective / Multiple Choice
Question 37 POST_UTME_CRAWFORD_UNIVERSITY • 2017 • GEOGRAPHY • objective

A firm in the manufacturing sector is considering the installation of a new production line. The production line will require an initial investment of ₦5,000,000 and will generate an annual revenue of ₦2,500,000. If the firm's cost of capital is 10% per annum, what is the net present value (NPV) of the production line after 5 years?

Answer Options

A. ₦1,250,000
Correct Answer B. ₦1,500,000
C. ₦1,750,000
D. ₦2,000,000
Correct Answer
B
Correct Option:
₦1,500,000

About This Question

This is Post Utme Crawford University 2017 Geography Question 37. It is one of the objective questions from the 2017 Post Utme Crawford University Geography examination.

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