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Engineering Economics

Engineering Economics
A P 1,000,000 issue of 3%, 15-year bond was sold at 95%. What is the rate of interest of this investment?

0.04
0.037
0.03
0.034

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Engineering Economics
The financial health of the company is measured in terms of:

Relative risk
All of these
Liquidity
Solvency

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Engineering Economics
What refers to the ratio of the interest payment to the principal for a given unit of time and usually expressed as a percentage of the principal?

Rate of return
Return of investment
Interest rate
Yield

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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.

30.78 %
30.12 %
29.17 %
28.33 %

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Engineering Economics
Pick up the element of the cost from the following:

Direct material
Over head
Direct labour
All of these

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Engineering Economics
What is the factor name of the formula (1+i)^-n?

Single payment present worth
Uniform gradient future worth
Single payment compound amount
Capital recovery

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