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Engineering Economics

Engineering Economics
What refers to the residual value of a company’s assets after all outside liabilities (shareholders excluded) have been allowed for?

Dividend
Equity
Return
Par value

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Engineering Economics
The unrecovered depreciation which results due to poor estimates as to the life of the equipment is called ______.

Annuity
In-place value
Economic life
Sunk cost

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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?

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

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Engineering Economics
What refers to the interest rate at which the present work of the cash flow on a project is zero of the interest earned by an investment?

Rate of return
Economic return
Return of investment
Yield

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Engineering Economics
The process of determining the value or worth of a physical property for specific reason is called ______.

Depletion
Economy
Investment
Valuation

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

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

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MORE MCQ ON Engineering Economics

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