A feasibility study shows that a fixed capital investment of P10,000,000 is required for a proposed construction firm and an estimated working capital of P2,000,000. Annual depreciation is estimated to be10% of the fixed capital investment. Determine the rate of return on the total investment if the annual profit is P3,500,000.

Engineering Economics
A feasibility study shows that a fixed capital investment of P10,000,000 is required for a proposed construction firm and an estimated working capital of P2,000,000. Annual depreciation is estimated to be10% of the fixed capital investment. Determine the rate of return on the total investment if the annual profit is P3,500,000.

28.33 %

29.17 %

30.78 %

30.12 %

28.33 %

29.17 %

30.78 %

30.12 %

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Engineering Economics
In what method of computing depreciation where it assumes that the annual cost of depreciation is a fixed percentage of the book value at the beginning of the year?

Sinking fund method

Sum-of-year digit method

Straight line method

Declining balance method

Sinking fund method

Sum-of-year digit method

Straight line method

Declining balance method

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Engineering Economics
The key to profitable operation for project cost control, is:

To keep the project cost within the cost budget and knowing when and where job costs are deviating

To keep the project cost equal to original cost estimate

None of these

To keep the project cost equal to subsequent construction budget

To keep the project cost within the cost budget and knowing when and where job costs are deviating

To keep the project cost equal to original cost estimate

None of these

To keep the project cost equal to subsequent construction budget

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Engineering Economics
What is another term for “current assets”?

Fixed assets

Liquid assets

Ccash

Non-liquid assets

Fixed assets

Liquid assets

Ccash

Non-liquid assets

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Engineering Economics
What is another term for “unit method” for computing depletion?

Percentage method

Factor method

Sinking fund method

Initial cost method

Percentage method

Factor method

Sinking fund method

Initial cost method

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Engineering Economics
A man invested P110,000 for 31 days. The net interest after deducting 20% withholding tax is P890.36. Find the rate of return annually.

0.1232

0.1175

0.115

0.1195

0.1232

0.1175

0.115

0.1195

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Engineering Economics

Engineering Economics In what method of computing depreciation where it assumes that the annual cost of depreciation is a fixed percentage of the book value at the beginning of the year?

Engineering Economics The key to profitable operation for project cost control, is:

Engineering Economics What is another term for “current assets”?

Engineering Economics What is another term for “unit method” for computing depletion?

Engineering Economics A man invested P110,000 for 31 days. The net interest after deducting 20% withholding tax is P890.36. Find the rate of return annually.

Engineering Economics
In what method of computing depreciation where it assumes that the annual cost of depreciation is a fixed percentage of the book value at the beginning of the year?

Engineering Economics
The key to profitable operation for project cost control, is:

Engineering Economics
What is another term for “current assets”?

Engineering Economics
What is another term for “unit method” for computing depletion?

Engineering Economics
A man invested P110,000 for 31 days. The net interest after deducting 20% withholding tax is P890.36. Find the rate of return annually.