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- Question
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
- Correct Answer
- All of these
- 1. 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 Discuss
- 2. 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
- 3. 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
- 4. 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
- 5. 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
- 6. 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
- 7. 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
- 8. 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
- 9. 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
- 10. The construction manager uses the estimate of the project
Options- A. to tell the owner of the project to take his/her financial decision.
- B. to advise the architect/engineer regarding design cost parameter especially in value engineering analysis.
- C. to develop bids on the project.
- D. to control the project during its construction.
- E. All of these Discuss
Engineering Economy problems
Search Results
Correct Answer: owner himself/herself
Correct Answer: All of these
Correct Answer: All of these
Correct Answer: All the above
Correct Answer: None of these
Correct Answer: All of the above.
Correct Answer: All of these
Correct Answer: Rs 4413
Correct Answer: (1 + i)n
Correct Answer: All of these
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