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Engineering Economics

Engineering Economics
What is the effective rate corresponding to 18% compounded daily? Take 1 year is equal to 360 days.

0.1972
0.1931
0.1961
0.1944

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Engineering Economics
What is the increase in the money value of a capital asset is called?

Capital expenditure
Profit
Capital gain
Capital stock

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Engineering Economics
What is an index of short-term paying ability?

Profit margin ratio
Current ratio
Gross margin
Price-earnings ratio

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Engineering Economics
Cash money and credit necessary to establish and operate an enterprise are generally called ______.

Liabilities
Funds
Assets
Capital

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Engineering Economics
The price at which the callable bond will be redeemed from the bondholder is called ______.

Redemption value
Face value
Par value
Call value

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Engineering Economics
What is normally used to compare alternatives that accomplish the same purpose but have unequal lives?

Present worth method
Annual cost method
Capitalized cost method
MARR

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