Engineering Economics
Pick up the correct statement regarding financial statement analysis from the following.

The balance sheet is the summary of assets, liabilities and owner's equity of business at a point in time
Final analysis always involves the use of various financial statements i.e., balance sheet and income statement
All listed here
The income statement is the summary of revenues and expenses of a firm over a particular period of time

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Engineering Economics
The institute of Electronics and Communications Engineers of the Philippines (IECEP) is planning to put up its own building. Two proposals being considered are:A. The construction of the building now to cost P 400,000B. The construction of a smaller building now to cost P300,000 and at the end of 5 years, an extension to be added to cost P 200,000.By how much is proposal B more economical than proposal A if interest rate is 20% and depreciation to be neglected?

P 19,624.49
P 19,423.69
P 19,518.03
P 19,122.15

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Engineering Economics
Which is NOT an essential element of an ordinary annuity?

The payments are made at equal interval of time.
Compound interest is paid on all amounts in the annuity.
The first payment is made at the beginning of the first period.
The amounts of all payments are equal.

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