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Engineering Economics

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

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

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Engineering Economics
Capitalized cost of any structure or property is computed by which formula?

First cost + interest of first cost
Annual cost – interest of first cost
First cost + salvage value
First cost + cost of perpetual maintenance

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Engineering Economics
What is the type of annuity where the payments are made at the end of each period starting from the first period?

Annuity due
Deferred annuity
Ordinary annuity
Perpetuity

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Engineering Economics
What is another term for “unit method” for computing depletion?

Factor method
Initial cost method
Sinking fund method
Percentage method

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Engineering Economics
By the condition of a will, the sum of P20,000 is left to a girl to be held in trust fund by her guardian until it amounts to P50,000. When will the girl receive the money if fund invested at 8% compounded quarterly?

11.57 years
11.87 years
11.46 years
11.23 years

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Engineering Economics
What is a stock of a product which is held by a trade body or government as a means of regulating the price of that product?

Hoard stock
Stock pile
Withheld stock
Buffer stock

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