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Engineering Economics

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

Price-earnings ratio
Profit margin ratio
Current ratio
Gross margin

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

Initial cost method
Percentage method
Factor method
Sinking fund method

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Engineering Economics
A loan for P50,000 is to be paid in 3 years at the amount of P65,000. What is the effective rate of money?

0.0941
0.0931
0.0901
0.0914

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Engineering Economics
Pick up the ratio which gives us sufficient information by which to judge the financial condition and performance of the firm, from the following:

Liquidity ratio
None of these
Financial leverage ratio
Activity ratio

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Engineering Economics
One banker’s year is equivalent to ______ days.

360
366
365
300

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Engineering Economics
Engr. Trinidad loans from a loan firm an amount of P100,000 with a rate of simple interest of 20% but the interest was deducted from the loan at the time the money was borrowed. If at the end of one year, she has to pay the full amount of P100,000, what is the actual rate of interest?

0.25
0.235
0.258
0.247

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