Post Utme Igbinedion University 2023 Economics Question 28

Practice objective / multiple choice question 28 from the 2023 Post Utme Igbinedion University Economics examination.

Post Utme Igbinedion University 2023 Economics Objective / Multiple Choice
Question 28 POST_UTME_IGBINEDION_UNIVERSITY • 2023 • ECONOMICS • objective

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

Answer Options

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

About This Question

This is Post Utme Igbinedion University 2023 Economics Question 28. It is one of the objective questions from the 2023 Post Utme Igbinedion University Economics examination.

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