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Engineering Economics

Engineering Economics
The flow back of profit plus depreciation form a given project is called ______.

Capital recovery
Economic return
Cash flow
Earning value

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Engineering Economics
What is the term for an annuity with a fixed time span?

Perpetuity
Annuity certain
Annuity due
Ordinary annuity

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Engineering Economics
“When one of the factors of production is fixed in quantity or is difficult to increase, increasing the other factors of production will result in a less than proportionate increase in output”. This statement is known as the:

Law of supply and demand
Law of supply
Law of demand
Law of diminishing return

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Engineering Economics
What type of bond which can be redeemed before maturity date?

Incorporators bond
Preferred bond
Registered bond
Callable bond

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Engineering Economics
The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion.

5010000
5050000
5000000
5025000

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Engineering Economics
The alternatives which are standalone solutions for given situations in engineering involve:

The anticipated life of the assets
All of these
The anticipated resalable value (salvage value) and the interest return (rate of return)
A purchase cost (first cost)

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