Post Utme Futa 2023 Commerce Question 7

Practice objective / multiple choice question 7 from the 2023 Post Utme Futa Commerce examination.

Post Utme Futa 2023 Commerce Objective / Multiple Choice
Question 7 POST_UTME_FUTA • 2023 • COMMERCE • objective

A firm is considering two mutually exclusive projects, A and B. Project A has a net present value (NPV) of ₦100,000 and a probability of success of 0.8, while project B has an NPV of ₦120,000 and a probability of success of 0.6. Which project should the firm choose?

Answer Options

Correct Answer A. Project A
B. Project B
C. Both projects are equally attractive
D. Neither project is attractive
Correct Answer
A
Correct Option:
Project A

About This Question

This is Post Utme Futa 2023 Commerce Question 7. It is one of the objective questions from the 2023 Post Utme Futa Commerce examination.

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