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Engineering Economics

Engineering Economics
What refers to a document that shows proof of legal ownership of a financial security?

Coupon
Bond
Check
Bank note

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Engineering Economics
A investor wishes to earn 7% on his capital after payment of taxes. If the income from an available investment will be taxed at an average rate of 42%, what minimum rate of return, before payment of taxes, must the investment offer to be justified?

0.1287
0.1267
0.1207
0.1234

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Engineering Economics
What represents the ownership of stockholders who have a residual claim on the assets of the corporation after all other claims have been settled?

Preferred stock
Common stock
Incorporator stock
Authorized capital stock

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Engineering Economics
What is considered as the basic consuming or demanding unit of a commodity?

Producer
Seller
Manufacturer
Buyer or consumer

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Engineering Economics
The functional depreciation is sometimes called ______.

Life depreciation
Demand depreciation
Adolescence
Failure depreciation

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

Initial cost method
Percentage method
Sinking fund method
Factor method

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