What is a government bond which has an indefinite life rather than a specific maturity? Debenture Consol Coupon T-bill TRUE ANSWER : ? YOUR ANSWER : ?
In what method of computing depreciation where it assumes that the annual cost of depreciation is a fixed percentage of the book value at the beginning of the year? Sum-of-year digit method Straight line method Sinking fund method Declining balance method TRUE ANSWER : ? YOUR ANSWER : ?
Ratio analysis of a construction firm is used for analysis by: Banks of the firm Share holders Firm's management Financial analysts TRUE ANSWER : ? YOUR ANSWER : ?
Which one of the following definitions is correct? The ratio debt-to-total assets is called Debt-to-total assets ratio The ratio of earnings before interest and taxes for a particular reporting period to the amount of interest charges for the period is called interest coverage ratio The ratio of total debt to share holder's equity is called 'debt ratio' All of these TRUE ANSWER : ? YOUR ANSWER : ?
All are classified under direct labor expenses EXCEPT one. Which one? Testing cost Inspection cost Supervision cost Assembly cost TRUE ANSWER : ? YOUR ANSWER : ?
Return on investment ratio is the ratio of the: Cost of goods sold to average cost of inventory at hand Net credit sales to average net receivable Net income to owner’s equity Market price per share to earnings per share TRUE ANSWER : ? YOUR ANSWER : ?
What is the present worth of a year annuity paying P 3,000.00 at the end of each year, with interest at 8% compounded annually? P 7,731.29 P 7,420.89 P 7,590.12 P 7,654.04 TRUE ANSWER : ? YOUR ANSWER : ?
The construction manager uses the estimate of the project All of these To control the project during its construction To tell the owner of the project to take his/her financial decision To develop bids on the project TRUE ANSWER : ? YOUR ANSWER : ?
What is the main reason why the sinking fund method of computing depreciation is seldom used in the industry? The initial depreciation is low The initial deprecation is high Rate of interest cannot be exactly determined Unstable economy TRUE ANSWER : ? YOUR ANSWER : ?
It is the practice of almost all banks in the Philippines that when they grant a loan, the interest for one year is automatically deducted from the principal amount upon release of money to a borrower. Let us therefore assume that you applied for a loan with a bank and the P80,000 was approved at an interest rate of 14% of which P11,200 was deducted and you were given a check of P68,800. Since you have to pay the amount of P80,000 one year after, what then will be the effective interest rate? 0.1632 0.1602 0.1647 0.1628 TRUE ANSWER : ? YOUR ANSWER : ?