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Engineering Economics

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

Callability
Recall clause
Call class
Return clause

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Engineering Economics
A factory operator bought a diesel generator set for P 10,000.00 and agreed to pay the dealer uniform sum at the end of each year for 5 years at 8% interest compounded annually, that the final payment will cancel the debt for principal and interest. What is the annual payment?

P 2,540.56
P 2,500.57
P 2,504.57
P 2,544.45

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Engineering Economics
What is defined as any tangible economic activity that contributes directly or indirectly to the satisfaction of human want?

Services
Goods
Goods or commodities
Commodities

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

Sinking fund method
Factor method
Initial cost method
Percentage method

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Engineering Economics
What refers to the amount of money paid for the use of borrowed capital?

Principal
Simple interest
Interest
Rate of interest

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Engineering Economics
Pick up the main purpose of project cost control from the following:

To signal immediate warning of uneconomic operations
To promote cost consciousness
All of these
To provide a feed back to the estimator

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