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Engineering Economics

Engineering Economics
The ratio of current assets to current liabilities is known as

Acid-Test (or Quick) ratio
Liquidity ratio
Current ratio
Debts ratio

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

Insolvency
Solvency
Liquidity
Leverage

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Engineering Economics
The amount of company’s profit that the board of directors of the corporation decides to distribute to ordinary shareholders is called ______.

Equity
Return
Share of stock
Dividend

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Engineering Economics
What represents the ownership of stockholders who have a residual claim on the assets of the corporation after all other claims have been settled?

Preferred stock
Authorized capital stock
Incorporator stock
Common stock

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Engineering Economics
Miss Evilla borrowed money from a bank. She receives from the bank P1,340.00 and promised to pay P1,500.00 at the end of 9 months. Determine the corresponding discount rate or often referred to as the “banker’s discount”.

0.1332
0.1346
0.1315
0.1373

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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.

0.1029
0.1154
0.1203
0.1219

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