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Engineering Economics

Engineering Economics
Gross margin is the ratio of the gross profit to ______.

Inventory turnover
Net sale
Owner’s equity
Quick assets

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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?

Franchise value
Market value
Book value
Fair value

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Engineering Economics
The exact simple interest of P5,000 invested from June 21, 1995 to December 25, 1995 is P100. What is the rate of interest?

0.0395
0.039
0.0392
0.0398

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Engineering Economics
An amount of P1,000 becomes P1,608.44 after 4 years compounded bimonthly. Find the nominal interest.

0.1189
0.1232
0.1208
0.12

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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.

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

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Engineering Economics
The annuity which refers to a debt payment for recovering the initial amount or capital in equal periodical payments, is known as;

Capital recovery annuity
Sinking fund annuity
Present Worth Annuity
Compound annuity

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