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Engineering Economics

Engineering Economics
What refers to the need, want or desire for a product backed by the money to purchase it?

Demand
Supply
Product
Good

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Engineering Economics
What is the present worth of two P 100 payments at the end of the third year and fourth year? The annual interest rate is 8%.

P 153.89
P 151.09
P 152.88
P 150.56

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Engineering Economics
The sunk costs include:

All of these
An invested capital that cannot be retrieved
A past expenditure
An unrecovered balance

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Engineering Economics
Mr. Bacani borrowed money from the bank. He received from the bank P1,842 and promised to repay P2,000 at the end of 10 months. Determine the rate of simple interest.

0.1029
0.1219
0.1203
0.1154

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Engineering Economics
What annuity is required over 12 years to equate with a future amount of P 20,000? Assume i= 6% annually.

P 1,185.54
P 1,205.74
P 1,290.34
P 1,107.34

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Engineering Economics
What is the type of annuity where the first payment does not begin until some later date in the cash flow?

Annuity due
Ordinary annuity
Deferred annuity
Perpetuity

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