Post Utme Igbinedion University 2025 Commerce Question 17

Practice objective / multiple choice question 17 from the 2025 Post Utme Igbinedion University Commerce examination.

Post Utme Igbinedion University 2025 Commerce Objective / Multiple Choice
Question 17 POST_UTME_IGBINEDION_UNIVERSITY • 2025 • COMMERCE • objective

A company is considering two different investment opportunities. Opportunity A has a 10% chance of returning 100,000 and a 90% chance of returning 0. Opportunity B has a 20% chance of returning 150,000 and an 80% chance of returning 0. Which opportunity has a higher expected return?

Answer Options

A. Opportunity A
Correct Answer B. Opportunity B
C. Opportunity A and Opportunity B are equally likely
D. Neither opportunity has a higher expected return
Correct Answer
B
Correct Option:
Opportunity B

About This Question

This is Post Utme Igbinedion University 2025 Commerce Question 17. It is one of the objective questions from the 2025 Post Utme Igbinedion University Commerce examination.

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