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Engineering Economics

Engineering Economics
The ability to convert assets to cash quickly is known as ______.

Solvency
Leverage
Insolvency
Liquidity

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Engineering Economics
What is another term for “unit method” for computing depletion?

Factor method
Sinking fund method
Percentage method
Initial cost method

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Engineering Economics
One banker’s year is equivalent to ______ days.

365
366
300
360

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Engineering Economics
What is the factor name of the formula [i(1+i)^n]/[((1+i)^n)-1]?

Single payment present worth
Uniform series sinking fund
Uniform gradient future worth
Capital recovery

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Engineering Economics
Shell Philippines, a multinational company, has a total gross income for a particular year of P 50,000,000. The taxable income after taking all deductions except for depletion is P 18,500,000. What is the allowable depletion allowance for that particular year? Take percentage of gross income for oil as 22%.

P 9,308.45
P 9,358.41
P 9,228.45
P 9,250.00

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Engineering Economics
The project contractor relies on the cost of the estimate:

For preparation of a definitive estimate to help negotiate contract
For a unit price contract
For submission of a competitive bid for a lump-sum contract
All of these

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