Salvage value is sometimes known as ______.
A. Scrap value
B. Going value
C. Junk value
D. Second-hand value
Select an option to see the answer and solution.
The ability to meet debts as they become due is known as ______.
A. Solvency
B. Leverage
C. Insolvency
D. Liquidity
Select an option to see the answer and solution.
The ability to convert assets to cash quickly is known as ______.
A. Solvency
B. Liquidity
C. Leverage
D. Insolvency
Select an option to see the answer and solution.
The depletion allowance method of computing depletion is commonly known as ______.
A. Unit method
B. Percentage method
C. Factor method
D. Sinking fund method
Select an option to see the answer and solution.
The profit derived from a project or business enterprise without consideration of obligations to financial contributors and claims of others based on profit is known as ______.
A. Yield
B. Economic return
C. Earning value
D. Gain
Select an option to see the answer and solution.
A manufacturing firm maintains one product assembly line to produce signal generators. Weekly demand for the generators is 35 units. The line operates for 7 hours per day, 5 days per week. What is the maximum production time per unit in hours required of the line to meet the demand?
A. 1.0 hour per unit
B. 1.2 hours per unit
C. 1.4 hours per unit
D. 1.6 hours per unit
Select an option to see the answer and solution.
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?
A. Depletion
B. Inflation
C. Depreciation
D. Deflation
Select an option to see the answer and solution.
What is a stock of a product which is held by a trade body or government as a means of regulating the price of that product?
A. Stock pile
B. Hoard stock
C. Buffer stock
D. Withheld stock
Select an option to see the answer and solution.
Miss Calledo deposited P 1,000, P 1,500 and P 2,000 at the end of the 2nd year, 3rd year and 4th year, respectively in a savings account which earned 10% per annum. How much is in the account at the end of the 4th year?
A. P 4,880.00
B. P 4,820.00
C. P 4,860.00
D. P 4,840.00
Select an option to see the answer and solution.
The project contractor relies on the cost of the estimate:
A. For submission of a competitive bid for a lump-sum contract
B. For a unit price contract
C. For preparation of a definitive estimate to help negotiate contract
D. All of these
Select an option to see the answer and solution.
The owner of the construction company makes use of the estimate:
A. To determine the capital investment costs
B. To assist in financial arrangements
C. To determine economic feasibility of the project
D. All of these
Select an option to see the answer and solution.
What market situation exists where there is only one buyer and only one seller?
A. Monopsony
B. Monopoly
C. Bilateral monopsony
D. Bilateral monopoly
Select an option to see the answer and solution.
What is defined as the reduction or fall of the value of an asset due to constant use and passage of time?
A. Depletion
B. Inflation
C. Depreciation
D. Deflation
Select an option to see the answer and solution.
What type of depreciation is due to the reduction of the physical ability of an equipment or asset to produce results?
A. Functional depreciation
B. Design depreciation
C. Physical depreciation
D. Demand depreciation
Select an option to see the answer and solution.
Liquidity ratios are used:
A. To measure a firm’s ability to meet short-cut obligations
B. To compare short term obligations to short-term resources available to meet these obligations
C. To obtain much insight into the present cash solvency of the firm and the firm
D. All of these
Select an option to see the answer and solution.
A man invested P110,000 for 31 days. The net interest after deducting 20% withholding tax is P890.36. Find the rate of return annually.
A. 11.50 %
B. 11.75 %
C. 11.95 %
D. 12.32 %
Select an option to see the answer and solution.
Mr. Bacani borrowed money from the bank. He received from the bank P1,842 and promised to repay P2,000 at the end of 10 months. Determine the rate of simple interest.
A. 12.19 %
B. 12.03 %
C. 11.54 %
D. 10.29 %
Select an option to see the answer and solution.
What bond whose security is a mortgage on certain specified assets of the corporation?
A. Registered bond
B. Collateral trust bond
C. Mortgage bond
D. Debenture bond
Select an option to see the answer and solution.
In the cash-flow diagram shown in the given figure
A. Equal deposits of Rs. 3000 per year
B. The rate of interest is 10% per year account
C. The amount accumulated after the seventh deposit is to be computed
D. All of these
Select an option to see the answer and solution.
In the cash flow diagram shown in the given figure
A. The first disbursement occurs at the end of year 2
B. The second disbursement occurs at the end of year 4
C. The first receipt occurs at the end of year 1
D. All of these
Select an option to see the answer and solution.