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Engineering Economics

Engineering Economics
The ratio of current assets to current liabilities is known as

Acid-Test (or Quick) ratio
Debts ratio
Current ratio
Liquidity ratio

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Engineering Economics
What is considered as the standard unit which forms the basis of a country’s domestic money supply?

Currency
Monetary unit
Cash or check
Foreign exchange

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Engineering Economics
A young engineer borrowed P 10,000 at 12% interest and paid P 2,000 per annum for the last 4 years. What does he have to pay at the end of the fifth year in order to pay off his loan?

P 6,222.39
P 6,292.93
P 6,999.39
P 6,922.93

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

Insolvency
Solvency
Liquidity
Leverage

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Engineering Economics
What refers to the interest rate at which the present work of the cash flow on a project is zero of the interest earned by an investment?

Economic return
Yield
Rate of return
Return of investment

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Engineering Economics
What are the common methods of computing depletion charge?

Unit method and percentage method
Discrete method and depletion allowance method
Rational method and irrational method
Conservative method and conventional method

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