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February 2019

If ‘S’ is the amount available after ‘n’ interest periods for an initial principal ‘P’ with the discrete compound interest rate ‘i’, the present worth is given by__________________?

Plant-Economics /
If ‘S’ is the amount available after ‘n’ interest periods for an initial principal ‘P’ with the discrete compound interest rate ‘i’, the present worth is given by__________________?

A. (1 + i)n/S
B. S/(1 + i)n
C. S/(1 + in)
D. S/(1 + n)i

If ‘S’ is the amount available after ‘n’ interest periods for an initial principal ‘P’ with the discrete compound interest rate ‘i’, the present worth is given by__________________? Read More »

Plant-Economics

The total investment in a project is Rs. 10 lakhs and the annual profit is 1.5 lakhs. If the project life is 10 years, then the simple rate of return on investment is__________________?

Plant-Economics /
The total investment in a project is Rs. 10 lakhs and the annual profit is 1.5 lakhs. If the project life is 10 years, then the simple rate of return on investment is__________________?

A. 15%
B. 10%
C. 1.5%
D. 150%

The total investment in a project is Rs. 10 lakhs and the annual profit is 1.5 lakhs. If the project life is 10 years, then the simple rate of return on investment is__________________? Read More »

Plant-Economics

Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method ?

Plant-Economics /
Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method ?

A. Multiple straight line method
B. Sinking fund method
C. Declining balance method
D. Sum of the years digit method

Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method ? Read More »

Plant-Economics