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? Sinking fund method Sum-of-year digit method Straight line method Declining balance method Sinking fund method Sum-of-year digit method Straight line method Declining balance method ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What is defined as the certificate of indebtedness of corporation usually for a period not less than 10 years and guaranteed by a mortgage on certain assets of a corporation? Bond Stock Promissory note T-bills Bond Stock Promissory note T-bills ANSWER DOWNLOAD EXAMIANS APP
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? Interest rate Yield Rate of return Return of investment Interest rate Yield Rate of return Return of investment ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What refers to the cumulative effect of elapsed time on the money value of an event, based on the earning power of equivalent invested funds capital should or will earn? Yield Present worth factor Interest rate Time value of money Yield Present worth factor Interest rate Time value of money ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What is the type of annuity that does not have a fixed time span but continues indefinitely or forever? Annuity due Perpetuity Deferred annuity Ordinary annuity Annuity due Perpetuity Deferred annuity Ordinary annuity ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics If interest is paid more than once in a year, ‘i’ is the rate of interest per year, ‘n’ is the number of periods in years and ‘m’ is a number of periods per years, compound amount factor (CAF) is: (1 + i/m)1/n (1 + i/n)m (1 + i/n)1/m (1 + i/m)n (1 + i/m)1/n (1 + i/n)m (1 + i/n)1/m (1 + i/m)n ANSWER DOWNLOAD EXAMIANS APP