Post Utme Unilorin 2022 General Studies Question 10

Practice objective / multiple choice question 10 from the 2022 Post Utme Unilorin General Studies examination.

Post Utme Unilorin 2022 General Studies Objective / Multiple Choice
Question 10 POST_UTME_UNILORIN • 2022 • GENERAL STUDIES • objective

A firm is considering two production methods. Method A requires an initial investment of 100,000 and generates a profit of 20,000 per year. Method B requires an initial investment of 50,000 and generates a profit of 15,000 per year. Which method has a higher net present value?

Answer Options

Correct Answer A. Method A
B. Method B
C. Method A and Method B are equally likely
D. Method B has a higher net present value
Correct Answer
A
Correct Option:
Method A

About This Question

This is Post Utme Unilorin 2022 General Studies Question 10. It is one of the objective questions from the 2022 Post Utme Unilorin General Studies examination.

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