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ENGINEERING ECONOMICS

Engineering Economics
Annuities involve:

All payments of equal amount
Payment at equal time intervals
A series of payments
All of these

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Engineering Economics
An amount of P1,000 becomes P1,608.44 after 4 years compounded bimonthly. Find the nominal interest.

0.1208
0.1232
0.12
0.1189

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Engineering Economics
Mr. David deposits Rs 1200 now, Rs 800 two years from now and Rs 1000 five years from now. If the savings bank's rate of interest in 5%, he will receive an amount of Rs X, 10 years from now, where ‘X’ is

Rs. 4413
Rs. 4826
Rs. 4225
Rs. 3415

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Engineering Economics
The annuity which refers to a debt payment for recovering the initial amount or capital in equal periodical payments, is known as;

Compound annuity
Sinking fund annuity
Capital recovery annuity
Present Worth Annuity

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Engineering Economics
What is defined as the interest on a load or principal that is based only on the original amount of the loan or principal?

Compound interest
Nominal rate of interest
Effective rate of interest
Simple interest

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