Engineering Economics What is the main reason why the sinking fund method of computing depreciation is seldom used in the industry? Rate of interest cannot be exactly determined Unstable economy The initial depreciation is low The initial deprecation is high Rate of interest cannot be exactly determined Unstable economy The initial depreciation is low The initial deprecation is high ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What refers to the ratio of the interest payment to the principal for a given unit of time and usually expressed as a percentage of the principal? Rate of return Interest rate Return of investment Yield Rate of return Interest rate Return of investment Yield ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What is defined as the certificate of indebtedness of corporation usually for a period not less than 10 years and guaranteed by a mortgage on certain assets of a corporation? Promissory note T-bills Bond Stock Promissory note T-bills Bond Stock ANSWER DOWNLOAD EXAMIANS APP
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? 0.0931 0.0914 0.0901 0.0941 0.0931 0.0914 0.0901 0.0941 ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics What is the reduction in the money value of capital asset is called? Loss Capital expenditure Capital loss Deficit Loss Capital expenditure Capital loss Deficit ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics In what method of computing depreciation where it assumes that the loss in value is directly proportional to the age of the equipment or asset? Sum-of-year digit method Declining balance method Straight line method Sinking fund method Sum-of-year digit method Declining balance method Straight line method Sinking fund method ANSWER DOWNLOAD EXAMIANS APP