Engineering Economics
What type of depreciation is due to the reduction in the demand for the function that the equipment or asset was designed to render?

Functional depreciation
Physical depreciation
Design depreciation
Demand depreciation

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Engineering Economics
A construction estimate is used

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

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Engineering Economics
Pick up the correct statement regarding financial statement analysis from the following.

The income statement is the summary of revenues and expenses of a firm over a particular period of time
Final analysis always involves the use of various financial statements i.e., balance sheet and income statement
The balance sheet is the summary of assets, liabilities and owner's equity of business at a point in time
All listed here

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Engineering Economics
Under the depletion allowance method in computing depreciation, the depletion charge is equal to either ______ whichever is smaller.

50% of the fixed percentage of gross income or the net taxable income
Fixed percentage of gross income or 50% of the net taxable income
Fixed percentage of gross income or the net taxable income
50% of the fixed percentage of gross income or 50% of the net taxable income

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