A. P 62.44
B. P44.55
C. P54.66
D. P37.56
✅ The correct answer is option C.
Engineering Economy MCQs
What do you call the after-tax present worth of all depreciation effects over the depreciation period of the asset ?
A. Asset recovery
B. Depreciation recovery
C. Period recovery
D. After-tax recovery
✅ The correct answer is option B.
What refers to the cumulative effect of elapsed time on the money value of an event, based on the earning power of equivalent invested funds capital should or will earn ?
A. Present worth factor
B. Interest rate
C. Time value of money
D. Yield
✅ The correct answer is option C.
What refers to the exchange mechanism that brings together the sellers and the buyers of a product, factor of production or financial security ?
A. Mall
B. Market
C. Store
D. Office
✅ The correct answer is option B.
What is the term for an annuity with a fixed time span ?
A. Ordinary annuity
B. Perpetuity
C. Annuity certain
D. Annuity due
✅ The correct answer is option C.
What method is often used in municipal project evaluations where benefits and costs accrue to different segments of the community ?
A. Annual cost method
B. Benefit-cost ratio
C. Rate of return method
D. EUAC
✅ The correct answer is option B.
A _____________ is a market situation where economies of scale are so significant that cost are only minimized when the entire output of an industry is supplied by a single producer so that the supply costs are lower under monopoly that under perfect competition ?
A. Perfect monopoly
B. Bilateral monopoly
C. Natural monopoly
D. Ordinary monopoly
✅ The correct answer is option C.
A P 1, 000, 6% bond pays dividend semiannually and will be redeemed at 110% on June 21, 204. It is bought on June 21, 2001 to yield 4% interest. Find the price of the bond ?
A. P 1,122.70
B. P 1,144.81
C. P 1,133.78
D. P 1,155.06
✅ The correct answer is option B.
What refers to the cost of borrowing money or the amount earned by a unit principal per unit time ?
A. Yield rate
B. Rate of return
C. Rate of interest
D. Economic return
✅ The correct answer is option C.
What refers to the need, want or desire for a product backed by the money to purchase it ?
A. Supply
B. Demand
C. Product
D. Good
✅ The correct answer is option B.