Post Utme Unn 2017 Commerce Question 3

Practice objective / multiple choice question 3 from the 2017 Post Utme Unn Commerce examination.

Post Utme Unn 2017 Commerce Objective / Multiple Choice

Question 3 POST_UTME_UNN • 2017 • COMMERCE • objective

A firm is considering two investment projects. Project A has a 10% chance of generating ₦100,000 and a 90% chance of generating ₦0. Project B has a 20% chance of generating ₦80,000 and an 80% chance of generating ₦0. Which project has a higher expected return?

Correct Answer A. Project A

B. Project B

C. Both projects have the same expected return

D. Neither project has a higher expected return

Correct Answer

Correct Option:

Project A

This is Post Utme Unn 2017 Commerce Question 3. It is one of the objective questions from the 2017 Post Utme Unn Commerce examination.

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows

Chat with Support