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Engineering Economics

Engineering Economics
The ability to convert assets to cash quickly is known as ______.

Liquidity
Insolvency
Solvency
Leverage

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Engineering Economics
Mr. Bacani borrowed money from the bank. He received from the bank P1,842 and promised to repay P2,000 at the end of 10 months. Determine the rate of simple interest.

0.1203
0.1219
0.1029
0.1154

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

Quick assets
Inventory turnover
Net sale
Owner’s equity

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Engineering Economics
In computing depreciation of an equipment, which of the following represents the first cost?

All of these
The original purchase price and freight charges
Installation expenses
Initial taxes and permit fees

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Engineering Economics
What stock represents ownership and enjoys certain preferences than ordinary stock?

Presidential stock
Authorized stock
Incorporator’s stock
Preferred stock

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Engineering Economics
In year zero, you invest P 10,000.00 in a 15% security for 5 years. During that time, the average annual inflation is 6%. How much in terms of year zero pesos will be in the account at maturity?

P 16,892.34
P 15,030.03
P 18,289.05
P 20,113.57

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