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Engineering Economics

Engineering Economics
What is an index of short-term paying ability?

Price-earnings ratio
Current ratio
Profit margin ratio
Gross margin

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Engineering Economics
The functional depreciation is sometimes called ______.

Life depreciation
Demand depreciation
Failure depreciation
Adolescence

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

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

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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.

$ 5,025,000.00
$ 5,000,000.00
$ 5,050,000.00
$ 5,010,000.00

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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?

Authorized capital stock
Preferred stock
Common stock
Incorporator stock

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

Incorporators bond
Callable bond
Registered bond
Preferred bond

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