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Engineering Economics

Engineering Economics
What is the change in cost per unit variable change called?

Variable cost
Fixed cost
Incremental cost
Supplemental cost

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Engineering Economics
What is the present worth of two P 100 payments at the end of the third year and fourth year? The annual interest rate is 8%.

P 150.56
P 151.09
P 152.88
P 153.89

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

Inspection cost
Assembly cost
Supervision cost
Testing cost

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Engineering Economics
Return on investment ratio is the ratio of the:

Market price per share to earnings per share
Net credit sales to average net receivable
Cost of goods sold to average cost of inventory at hand
Net income to owner’s equity

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Engineering Economics
If ‘a’ is the base amount expenditure, ‘b’ is the increase in the operation cost each year over a period of’ 'n’ years, the total cost of maintenance is:

a - (n - 1) b
a × (n - 1) b
a + (n - 1) b
a + (n + 1) b

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Engineering Economics
What refers to the goods and services that are desired by human and will be acquired only after all the needs have been satisfied?

Producer products
Consumer products
Necessity
Luxury

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