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ENGINEERING ECONOMICS

Engineering Economics
What refers to the present worth of cost associated with an asset for an infinite period of time?

Increment cost
Annual cost
Capitalized cost
Operating cost

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Engineering Economics
The interest calculated on the basis of 365 days a year, is known as:

None of these
Interest
Exact simple interest
Ordinary simple interest

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Engineering Economics
An asset is purchased for P 9,000.00. Its estimated economic life is 10 years after which it will be sold for P 1,000.00. Find the depreciation in the first three years using sum-of-years digit method

P 3,729.27
P 3,279.27
P 3,927.27
P 3,792.72

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Engineering Economics
What is another term for “perfect competition”?

Free-for-all competition
No-limit competition
Heterogeneous market
Atomistic competition

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Engineering Economics
A person buys a piece of lot for P 100,000 downpayment and 10 deferred semi-annual payments of P 8,000 each, starting three years from now. What is the present value of the investment if the rate of interest is 12% compounded semi-annually?

P 143,104.89
P 142,999.08
P 143,999.08
P 142,189.67

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