Engineering Economics What is the main reason why the sinking fund method of computing depreciation is seldom used in the industry? Rate of interest cannot be exactly determined Unstable economy The initial deprecation is high The initial depreciation is low Rate of interest cannot be exactly determined Unstable economy The initial deprecation is high The initial depreciation is low ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics The price at which the callable bond will be redeemed from the bondholder is called ______. Call value Redemption value Par value Face value Call value Redemption value Par value Face value ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics The functional depreciation is sometimes called ______. Demand depreciation Adolescence Failure depreciation Life depreciation Demand depreciation Adolescence Failure depreciation Life depreciation ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics A construction estimate is used To produce a statement of the approximate cost To judge tentatively or approximate value of the project To decide an approximation of the value of the project and not the exact cost None of these To produce a statement of the approximate cost To judge tentatively or approximate value of the project To decide an approximation of the value of the project and not the exact cost None of these ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics It is the practice of almost all banks in the Philippines that when they grant a loan, the interest for one year is automatically deducted from the principal amount upon release of money to a borrower. Let us therefore assume that you applied for a loan with a bank and the P80,000 was approved at an interest rate of 14% of which P11,200 was deducted and you were given a check of P68,800. Since you have to pay the amount of P80,000 one year after, what then will be the effective interest rate? 0.1628 0.1647 0.1632 0.1602 0.1628 0.1647 0.1632 0.1602 ANSWER DOWNLOAD EXAMIANS APP
Engineering Economics A college freshman borrowed P2,000 from a bank for his tuition fee and promised to pay the amount for one year. He received only the amount of P1,920 after the bank collected the advance interest of P80.00. What was the rate of discount? 0.0425 0.0367 0.04 0.0415 0.0425 0.0367 0.04 0.0415 ANSWER DOWNLOAD EXAMIANS APP