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Engineering Economics

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.

0.1175
0.115
0.1195
0.1232

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Engineering Economics
In what method of computing depreciation where it assumes that the loss in value is directly proportional to the age of the equipment or asset?

Sinking fund method
Declining balance method
Sum-of-year digit method
Straight line method

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Engineering Economics
Mr. Jun Ramos was granted a loan of P20,000 by his employer Excel First Review and Training Center, Inc. with an interest of 6% for 180 days on the principal collected in advance. The corporation would accept a promissory note for P20,000 non-interest for 180 days. If discounted at once, find the proceeds of the note.

P18,000
P19,100
P18,900
P19,000

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Engineering Economics
The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion.

$ 5,000,000.00
$ 5,025,000.00
$ 5,050,000.00
$ 5,010,000.00

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Engineering Economics
Return on investment ratio is the ratio of the:

Market price per share to earnings per share
Cost of goods sold to average cost of inventory at hand
Net credit sales to average net receivable
Net income to owner’s equity

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Engineering Economics
Which of these gives the lowest effective rate of interest?

12.35 % compounded annually
12.20 % compounded annually
11.60 % compounded annually
11.90 % compounded annually

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