Engineering Economics What is the main reason why the sinking fund method of computing depreciation is seldom used in the industry? The initial deprecation is high Rate of interest cannot be exactly determined The initial depreciation is low Unstable economy The initial deprecation is high Rate of interest cannot be exactly determined The initial depreciation is low Unstable economy ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics The annuity which refers to a debt payment for recovering the initial amount or capital in equal periodical payments, is known as; Compound annuity Capital recovery annuity Sinking fund annuity Present Worth Annuity Compound annuity Capital recovery annuity Sinking fund annuity Present Worth Annuity ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics A sum of P1,000 is invested now and left for eight years, at which time the principal is withdrawn. The interest has accrued is left for another eight years. If the effective annual interest rate is 5%, what will be the withdrawal amount at the end of the 16th year? P693.12 P700.12 P702.15 P705.42 P693.12 P700.12 P702.15 P705.42 ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics The construction estimate of a project is used by: The owner of the facility The consulting architect/engineer The contractor of the project All of these The owner of the facility The consulting architect/engineer The contractor of the project All of these ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What is another term for “unit method” for computing depletion? Factor method Sinking fund method Percentage method Initial cost method Factor method Sinking fund method Percentage method Initial cost method ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics In what method of computing depreciation where it assumes that the annual cost of depreciation is a fixed percentage of the book value at the beginning of the year? Straight line method Sinking fund method Sum-of-year digit method Declining balance method Straight line method Sinking fund method Sum-of-year digit method Declining balance method ANSWER DOWNLOAD EXAMIANS APP