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ENGINEERING ECONOMICS

Engineering Economics
A investor wishes to earn 7% on his capital after payment of taxes. If the income from an available investment will be taxed at an average rate of 42%, what minimum rate of return, before payment of taxes, must the investment offer to be justified?

0.1287
0.1207
0.1234
0.1267

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Engineering Economics
What refers to the value of an asset which a disinterested third party, different from the buyer and seller, will determine in order to establish a price acceptable to both parties?

Book value
Franchise value
Market value
Fair value

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

Non-liquid assets
Liquid assets
Fixed assets
Ccash

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Engineering Economics
What is the ordinary interest on P1,500.50 for 182 days at 5.2%?

P39.99
P39.01
P39.45
P39.82

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Engineering Economics
In what method of computing depreciation where it assumes that a sinking fund is established in which funds will accumulate for replacement purposes?

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

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