Post Utme Futa 2025 Commerce Question 31

Practice objective / multiple choice question 31 from the 2025 Post Utme Futa Commerce examination.

Post Utme Futa 2025 Commerce Objective / Multiple Choice
Question 31 POST_UTME_FUTA • 2025 • COMMERCE • objective

A company is considering two different insurance policies to cover its business operations. Policy A has a premium of ₦150,000 and a deductible of ₦50,000. Policy B has a premium of ₦120,000 and a deductible of ₦20,000. If the company expects to incur a loss of ₦200,000, which policy would provide the greatest expected value?

Answer Options

Correct Answer A. Policy A
B. Policy B
C. Policy A and Policy B are equally valuable
D. Neither policy provides any value
Correct Answer
A
Correct Option:
Policy A

About This Question

This is Post Utme Futa 2025 Commerce Question 31. It is one of the objective questions from the 2025 Post Utme Futa Commerce examination.

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