Engineering Economy Mcqs

Q.  A VOM has a selling price of P 400. If its selling price is expected to decline at a rate of 10% per annum due to obsolescence, what will be its selling price after 5 years ?

a. P 222.67
b. P 212.90
c. P 236.20
d. P 231.56


ANSWER: See Answer
 
No explanation is available for this question!
MCQs:  What is defined as the reduction or fall of the value of an asset due to constant use and passage of time ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  In what method of computing depreciation where it assumes that the loss in value is directly proportional to the age of the equipment or asset ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  In what method of computing depreciation where it assumes that a sinking fund is established in which funds will accumulate for replacement purposes ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  In what method of computing depreciation where it assumes that the annual cost of depreciation is a fixed percentage of the book value at the beginning of the year ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  The declining balance method is also known as ____________________?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What type of depreciation is due to the reduction in the demand for the function that the equipment or asset was designed to render ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What type of depreciation is due to the reduction of the physical ability of an equipment or asset to produce results ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  The functional depreciation is sometimes called ____________________?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What is defined as the reduction of the value of certain natural resources such as mines, oil, timber, quarries, etc. due to the gradual extraction of its contents ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What are the common methods of computing depletion charge ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  Under the depletion allowance method in computing depreciation, the depletion charge is equal to either ________________ which ever is smaller ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  The depletion allowance method of computing depletion is commonly known as ___________________?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What is another term for “unit method” for computing depletion ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  Using factor method, the depletion at any given year is equal to ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What do you call the after-tax present worth of all depreciation effects over the depreciation period of the asset ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  A mathematical expression also known as the present value of annuity of one is called ____________________?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  The amount of property in which a willing buyer to a willing seller for the property when neither one is under the compulsion to buy nor to sell is called __________________?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  Salvage value is sometimes known as _____________________?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What refers to the value of an asset which a disinterested third party, different from the buyer and seller, will determine in order to establish a price acceptable to both parties ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts
MCQs:  What refers to the value of an intangible item which arises from the exclusive right of a company to provide a specified product and service in a certain region of the country ?
Category: Civil Engineering Mcqs,   Published by: T-Code Scripts