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Engineering Economics

Engineering Economics
What is the term for an annuity with a fixed time span?

Ordinary annuity
Perpetuity
Annuity due
Annuity certain

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Engineering Economics
An association of two or more persons for the purpose of engaging into a business for profit is called ______.

Corporation
Entrepreneurship
Partnership
Proprietorship

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Engineering Economics
The CRF (ep) is also known as: [CRF(EP) - 8% - 7], where

Neither (A) nor (B)
Both (A) and (B)
Money is borrowed for n = 7 years
8% is the rate of interest per year

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Engineering Economics
What is the main reason why the sinking fund method of computing depreciation is seldom used in the industry?

The initial depreciation is low
Unstable economy
The initial deprecation is high
Rate of interest cannot be exactly determined

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Engineering Economics
Lands, buildings, plants and machineries are example of what type of asset?

Current asset
Intangible asset
Trade investment asset
Fixed asset

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Engineering Economics
What is another term for “perfect competition”?

Free-for-all competition
Atomistic competition
Heterogeneous market
No-limit competition

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