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Engineering Economics

Engineering Economics
The ability to meet debts as they become due is known as ______.

Solvency
Insolvency
Leverage
Liquidity

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Engineering Economics
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)n
S (1 + i)1/n
S/(1 + i)n
None of these

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Engineering Economics
Salvage value is sometimes known as ______.

Scrap value
Second-hand value
Junk value
Going value

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Engineering Economics
The flow back of profit plus depreciation form a given project is called ______.

Capital recovery
Earning value
Economic return
Cash flow

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Engineering Economics
“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 supply and demand
Law of diminishing return
Law of demand

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Engineering Economics
The functional depreciation is sometimes called ______.

Demand depreciation
Failure depreciation
Adolescence
Life depreciation

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