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Engineering Economics

Engineering Economics
What is considered as the basic consuming or demanding unit of a commodity?

Producer
Buyer or consumer
Manufacturer
Seller

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Engineering Economics
In what method of computing depreciation where it assumes that a sinking fund is established in which funds will accumulate for replacement purposes?

Sum-of-year digit method
Declining balance method
Straight line method
Sinking fund method

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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:

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

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Engineering Economics
A student plans to deposit P1,500 in the bank now and another P3,000 for the next 2 years. If he plans to withdraw P5,000 three years from after his last deposit for the purpose of buying shoes, what will be the amount of money left in the bank after one year of his withdrawal? Effective annual interest rate is 10%.

P1,945.64
P1,549.64
P1,459.64
P1,345.98

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Engineering Economics
The financial health of the company is measured in terms of:

All of these
Solvency
Relative risk
Liquidity

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Engineering Economics
What do you call the after-tax present worth of all depreciation effects over the depreciation period of the asset?

Period recovery
Depreciation recovery
After-tax recovery
Asset recovery

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