Post Utme Unilag 2025 Commerce Question 14

Practice objective / multiple choice question 14 from the 2025 Post Utme Unilag Commerce examination.

Post Utme Unilag 2025 Commerce Objective / Multiple Choice
Question 14 POST_UTME_UNILAG • 2025 • COMMERCE • objective

A company is considering the purchase of a new machine that costs ₦500,000. The machine is expected to last for 5 years and will save the company ₦100,000 per year in labor costs. What is the net present value (NPV) of the machine, assuming a discount rate of 10%?

Answer Options

A. ₦250,000
Correct Answer B. ₦300,000
C. ₦350,000
D. ₦400,000
Correct Answer
B
Correct Option:
₦300,000

About This Question

This is Post Utme Unilag 2025 Commerce Question 14. It is one of the objective questions from the 2025 Post Utme Unilag Commerce examination.

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