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Engineering Economics

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
0.0398
0.0392
0.039

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Engineering Economics
What type of depreciation is due to the reduction of the physical ability of an equipment or asset to produce results?

Physical depreciation
Functional depreciation
Demand depreciation
Design depreciation

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Engineering Economics
All the proceeds which are received by the business as a result of the sale of goods is called ______.

Net revenue
Total sales
Gross income
Net income

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Engineering Economics
What is the simplest form of business organization?

Enterprise
Corporation
Partnership
Sole proprietorship

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Engineering Economics
What method is often used in municipal project evaluations where benefits and costs accrue to different segments of the community?

Rate of return method
EUAC
Benefit-cost ratio
Annual cost method

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Engineering Economics
A P 1,000,000 issue of 3%, 15-year bond was sold at 95%. What is the rate of interest of this investment?

0.034
0.04
0.037
0.03

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