Engineering Economics
What type of depreciation is due to the reduction of the physical ability of an equipment or asset to produce results?

Design depreciation
Demand depreciation
Physical depreciation
Functional depreciation

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Engineering Economics
A leading shoe manufacturer produces a pair of Lebron James signature shoes at a labor cost of P 900.00 a pair and a material cost of P 800.00 a pair. The fixed charges on the business are P 5,000,000 a month and the variable costs are P 400.00 a pair. Royalty to Lebron James is P 1,000 per pair of shoes sold. If the shoes sell at P 5,000 a pair, how many pairs must be produced each month for the manufacturer to break-even?

2632
2890
2.59
2712

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