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?

Return of investment
Interest rate
Yield
Rate of return

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Engineering Economics
The monthly demand for ice cans being manufactured by Mr. Camus is 3200 pieces. With a manual operated guillotine, the unit cutting cost is P25.00. An electrically operated hydraulic guillotine was offered to Mr. Camus at a price of P275,000.00 and which cuts by 30% the unit cutting cost. Disregarding the cost of money, how many months will Mr. Camus be able to recover the cost of the machine if he decides to buy now?

11 months
10 months
12 months
13 months

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Engineering Economics
In a cash-flow diagram:

All of these
Time 0 is considered to be the present
A vertical arrow pointing up indicates a positive cash flow
Time 1 is considered to be the end of time period 1

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