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Engineering Economics

Engineering Economics
Salvage value is sometimes known as ______.

Junk value
Scrap value
Going value
Second-hand value

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Engineering Economics
A feasibility study shows that a fixed capital investment of P10,000,000 is required for a proposed construction firm and an estimated working capital of P2,000,000. Annual depreciation is estimated to be10% of the fixed capital investment. Determine the rate of return on the total investment if the annual profit is P3,500,000.

0.3078
0.3012
0.2833
0.2917

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

Liquid assets
Non-liquid assets
Fixed assets
Ccash

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Engineering Economics
What refers to an imaginary cost representing what will not be received if a particular strategy is rejected?

Ghost cost
Horizon cost
Opportunity cost
Null cost

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Engineering Economics
What is an index of short-term paying ability?

Current ratio
Gross margin
Profit margin ratio
Price-earnings ratio

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Engineering Economics
Double taxation is a disadvantage of which business organization?

Enterprise
Sole proprietorship
Partnership
Corporation

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