Post Utme Pan Atlantic University 2019 Commerce Question 12

Practice objective / multiple choice question 12 from the 2019 Post Utme Pan Atlantic University Commerce examination.

Post Utme Pan Atlantic University 2019 Commerce Objective / Multiple Choice
Question 12 POST_UTME_PAN-ATLANTIC_UNIVERSITY • 2019 • COMMERCE • objective

A company is considering the purchase of a new machine that will cost ₦1,500,000. The machine is expected to last for 5 years and will save the company ₦300,000 per year in labor costs. What is the net present value of the machine?

Answer Options

Correct Answer A. ₦1,200,000
B. ₦1,500,000
C. ₦1,800,000
D. ₦2,000,000
Correct Answer
A
Correct Option:
₦1,200,000

About This Question

This is Post Utme Pan Atlantic University 2019 Commerce Question 12. It is one of the objective questions from the 2019 Post Utme Pan Atlantic University Commerce examination.

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