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  • Question
  • Keeping in view, the feasibility order of magnitude, the preliminary, conceptual or budget estimates, are prepared by :


  • Options
  • A. architect/engineer
  • B. construction manager
  • C. owner himself/herself
  • D. construction manager
  • E. None of these

  • Correct Answer
  • owner himself/herself 


  • Engineering Economy problems


    Search Results


    • 1. A project construction cost estimate includes:

    • Options
    • A. the labour and material cost
    • B. the equipment and over head cost
    • C. the profit of the contractor
    • D. All of these
    • Discuss
    • 2. Pick up the correct statement from the following:

    • Options
    • A. Uniform series compound amount factor =
    • B. Uniform series present worth factor =
    • C. Sinking fund factor =
    • D. Capital recovery factor = where letters carry their usual meanings.
    • E. All of these
    • Discuss
    • 3. Pick up the method used for project evaluation and selection in capital budgetting from the following:

    • Options
    • A. pay back period
    • B. Internal ratio of return
    • C. Net present worth
    • D. Profitability index
    • E. All the above
    • Discuss
    • 4. Which one of the following is not a construction estimate?

    • Options
    • A. Initial feasibility estimate
    • B. Conceptual preliminary budget
    • C. Definite estimate
    • D. None of these
    • Discuss
    • 5. The financial analysis :

    • Options
    • A. helps a share holder to compare the expected return on his investment in the firm against the expected return from other alternative investment.
    • B. helps a bank to know the financial position of the firm for granting a loan to the firm.
    • C. helps to judge the success of the firm's financial plans.
    • D. All of these.
    • Discuss
    • 6. The owner of the construction company makes use of the estimate :

    • Options
    • A. to determine the capital investment costs.
    • B. to assist in financial arrangements
    • C. to determine economic feasibility of the project.
    • D. to determine the tax, insurance and evaluation purpose.
    • E. All of these
    • Discuss
    • 7. Pick up the correct statement from the following:

    • Options
    • A. The receipts and disbursements in a given time interval are referred to as cash flow.
    • B. The assumptions that all cash flows occur at the end of the interest period, is known as the end of period convention.
    • C. A cash flow diagram is a graphical representation of cash flows drawn on a time scale.
    • D. The cash flow diagram represents the statement of the problem and also includes what is given and what is to be found.
    • E. All of the above.
    • Discuss
    • 8. Pick up the correct statement from the following:

    • Options
    • A. The difference between sales revenue and cost of goods sold, is known as 'Gross Profit.'
    • B. The gross profit percentage is the average profit margin obtained on goods sold.
    • C. The relationship of contribution to sales is known as contribution ratio
    • D. The difference between sales and variable cost of sales, is called contribution.
    • E. All of these
    • Discuss
    • 9. Renu Bala deposits Rs 1200 now, Rs 800 two years from now and Rs 1000 five years from now. If the savings bank's rate of interest in 5%, she will receive an amount of Rs X 10 years from now, where X is

    • Options
    • A. Rs 3415
    • B. Rs 4225
    • C. Rs 4413
    • D. Rs 4826
    • Discuss
    • 10. If P is principal amount, i is the rate of interest per annum and n is the number of periods in years, the compound amount factor (CAF) is :

    • Options
    • A. (1 + i)n
    • B. (1 + i)(1/2n)
    • C. (n + i)
    • D. None of these
    • Discuss


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