Engineering Economy problems
- 1. Pick up the correct statement from the following:
Options- A. The capital required to get a project started is the first cost.
- B. The first cost is a single cash flow or a series of cash flows that are made in the beginning of the activity's life span
- C. The first cost of purchasing a car is the sum of the down payment, taxes and dealers charges.
- D. All of these Discuss
Correct Answer: All of these
- 2. 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
Correct Answer: All of these.
- 3. 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
Correct Answer: None of these
- 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
Correct Answer: All the above
- 5. 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
Correct Answer: All of these
- 6. 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
Correct Answer: All of these
- 7. 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
Correct Answer: owner himself/herself
- 8. 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
Correct Answer: All of these
- 9. 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
Correct Answer: All of the above.
- 10. 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
Correct Answer: All of these
More in Civil Engineering:
Programming
Copyright ©CuriousTab. All rights reserved.