Post Utme Oau 2022 Commerce Question 22

Practice objective / multiple choice question 22 from the 2022 Post Utme Oau Commerce examination.

Post Utme Oau 2022 Commerce Objective / Multiple Choice

Question 22 POST_UTME_OAU • 2022 • COMMERCE • objective

A company is considering two different insurance policies to cover its business risks. Policy A has a premium of ₦10,000 and a deductible of ₦5,000. Policy B has a premium of ₦15,000 and a deductible of ₦2,000. If the company expects to incur a loss of ₦20,000, which policy would be more cost-effective?

Correct Answer A. Policy A

B. Policy B

C. Both policies are equally cost-effective

D. Neither policy is cost-effective

Correct Answer

Correct Option:

Policy A

This is Post Utme Oau 2022 Commerce Question 22. It is one of the objective questions from the 2022 Post Utme Oau Commerce examination.

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