What is defined as the reduction or fall of the value of an asset due to constant use and passage of time? Depletion Deflation Depreciation Inflation TRUE ANSWER : ? YOUR ANSWER : ?
The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. $ 5,010,000.00 $ 5,000,000.00 $ 5,050,000.00 $ 5,025,000.00 TRUE ANSWER : ? YOUR ANSWER : ?
The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. 5050000 5025000 5000000 5010000 TRUE ANSWER : ? YOUR ANSWER : ?
If ‘S’ is the future capital accumulated in ‘n’ years at the rate of interest ‘I’ per annum, then present worth is: S (1 + i)1/n S (1 + i)n S/(1 + i)n None of these TRUE ANSWER : ? YOUR ANSWER : ?
What is the basic accounting equation? Assets = liability + owner’s equity Owner’s equity = liability – assets Liability = assets + owners’ equity Owner’s equity = assets + liability TRUE ANSWER : ? YOUR ANSWER : ?
The price at which the callable bond will be redeemed from the bondholder is called ______. Face value Call value Redemption value Par value TRUE ANSWER : ? YOUR ANSWER : ?
What is the present worth of two P 100 payments at the end of the third year and fourth year? The annual interest rate is 8%. P 153.89 P 150.56 P 151.09 P 152.88 TRUE ANSWER : ? YOUR ANSWER : ?
By the condition of a will, the sum of P20,000 is left to a girl to be held in trust fund by her guardian until it amounts to P50,000. When will the girl receive the money if fund invested at 8% compounded quarterly? 11.57 years 11.87 years 11.46 years 11.23 years TRUE ANSWER : ? YOUR ANSWER : ?
The financial health of the company is measured in terms of: Liquidity Relative risk Solvency All of these TRUE ANSWER : ? YOUR ANSWER : ?
“Under conditions of perfect competition, the price at which any given product will be supplied and purchased is the price that will result in the supply and the demand being equal.” This statement is known as the: Law of supply Law of demand Law of diminishing return Law of supply and demand TRUE ANSWER : ? YOUR ANSWER : ?