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Engineering Economics

Engineering Economics
What is the feature of some bonds whereby the issuer can redeem it before it matures?

Return clause
Call class
Recall clause
Callability

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Engineering Economics
Miss Calledo deposited P 1,000, P 1,500 and P 2,000 at the end of the 2nd year, 3rd year and 4th year, respectively in a savings account which earned 10% per annum. How much is in the account at the end of the 4th year?

P 4,860.00
P 4,840.00
P 4,820.00
P 4,880.00

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Engineering Economics
What is the simplest form of business organization?

Enterprise
Partnership
Corporation
Sole proprietorship

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

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

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Engineering Economics
How long will it take money to double itself if invested at 5% compounded annually?

14.2 years
14.7 years
13.7 years
15.3 years

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Engineering Economics
A P 1,000,000 issue of 3%, 15-year bond was sold at 95%. What is the rate of interest of this investment?

0.037
0.03
0.04
0.034

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