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Engineering Economics

Engineering Economics
The price at which the callable bond will be redeemed from the bondholder is called ______.

Face value
Call value
Redemption value
Par value

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Engineering Economics
What is used to record historical financial transactions?

Balance check
General journal system
Ledger system
Bookkeeping system

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Engineering Economics
All are classified under direct labor expenses EXCEPT one. Which one?

Assembly cost
Supervision cost
Testing cost
Inspection cost

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Engineering Economics
A factory operator bought a diesel generator set for P 10,000.00 and agreed to pay the dealer uniform sum at the end of each year for 5 years at 8% interest compounded annually, that the final payment will cancel the debt for principal and interest. What is the annual payment?

P 2,544.45
P 2,500.57
P 2,540.56
P 2,504.57

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Engineering Economics
A firm borrows P2,000 for 6 years at 8%. At the end of 6 years, it renews the loan for the amount due plus P2,000 more for 2 years at 8%. What is the lump sum due?

P 3,280.34
P 3,270.34
P 3,250.34
P 3,260.34

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Engineering Economics
What refers to the interest rate at which the present work of the cash flow on a project is zero of the interest earned by an investment?

Return of investment
Economic return
Yield
Rate of return

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