ExamVeda
Login
Home

A feasibility study shows that a fixed capital investment of P10...

This question belongs to Civil Engineering Engineering Economics
Engineering Economics
?

A feasibility study shows that a fixed capital investment of P10,000,000 is required for a proposed construction firm and an estimated working capital of P2,000,000. Annual depreciation is estimated to be10% of the fixed capital investment. Determine the rate of return on the total investment if the annual profit is P3,500,000.

Answer & Solution
Correct Answer: Option B
Let's discuss the solution. Join the discussion
Examveda
Question posted by Examveda
Community

Join the Discussion

1 Comment
Pradeep D
Pradeep D 6 years ago
Solution
Keep Learning

Related Questions on Engineering Economics

The CRF (ep) is also known as: [CRF(EP) - 8% - 7], where
A. 8% is the rate of interest per year B. Money is borrowed for n = 7 years C. Both (A) and (B) D. Neither (A) nor (B)
A form of business organization in which a person conducts his business alone and entirely for his own profit, being solely responsible for all its activities and liabilities.
A. Sole proprietorship B. Entrepreneurship C. Partnership D. Corporation
A man loans P 187,400 from a bank with interest at 5% compounded annually. He agrees to pay his obligations by paying 8 equal annual payments, the first being due at the end of 10 years. Find the annual payments.
A. P 43,600.10 B. P 43,489.47 C. P 43,263.91 D. P 43,763.20
Keeping in view, the feasibility order of magnitude, the preliminary, conceptual or budget estimates, are prepared by:
A. Architect/engineer B. Construction manager C. Owner himself/herself D. None of the above
More Related Questions on Engineering Economics