Civil Engineering - Engineering Economy

Exercise :: Engineering Economy - Section 2

1. 

If a seller recovers his capital along with accumulated compensating interest not in one single lumpsum payment but in periodical equal payments, over time :

A. Capital Recovery Annuity fs availed
B. Present work Annuity is availed
C. Sinking Fund Annuity is availed
D. Sinking Fund Annuity is availed

Answer: Option A

Explanation:

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2. 

Which method is adopted to develop an approximate or conceptual estimate for perimeter works for buildings from the following:

A. Base unit method
B. Cost per function method
C. Cost per square metre method
D. Cost per cubic metre method
E. Cost per linear metre method

Answer: Option E

Explanation:

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3. 

Pick up the correct method adopted for developing the approximate or conceptual estimates from the following :

A. Base unit method
B. Cost per function method
C. Cost per square metre
D. Cost per linear unit
E. All of these

Answer: Option E

Explanation:

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4. 

The financial analysis :

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.

Answer: Option D

Explanation:

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5. 

Pick up the correct statement regarding financial statement analysis from the following.

A. Final analysis always involves the use of various financial statements i.e., balance sheet and income statement.
B. The balance sheet is the summary of assests, liabilities and owner's equity of business at a point in time.
C. The income statement is the summary of revenues and expenses of a firm over a particular period of time.
D. All the above

Answer: Option D

Explanation:

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