Engineering Economics
In what method of computing depreciation where it assumes that a sinking fund is established in which funds will accumulate for replacement purposes?

Sinking fund method
Declining balance method
Sum-of-year digit method
Straight line method

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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?

2,632
2.590
2,890
2,712

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