Articles by "GEAS MCQs"

General Engineering and Applied Sciences 1

This is 100 items set of Practice Examination 1 in General Engineering and Applied Sciences (GEAS) composed of previous Board Exams Questions and/or from related books and resources. Read each questions and choices carefully! Choose the best answer. In the actual board, you have to answer 100 items in General Engineering and Applied Sciences within 5 hours. You have to get at least 70% to pass the subject. General Engineering and Applied Sciences is 20% of the total 100% Board Rating along with Mathematics (20%), Communications Engineering (30%) and Electronics Engineering (30%). Familiarize each and every questions to increase the chance of passing the ECE Board Examination.

Start the Test Yourself Exam 1

Choose the letter of the best answer in each questions.

1. A hunter takes an aim at a monkey sitting on a tree and fires a bullet. Just when the bullet leaves the barrel of the gun, it so happens that the monkey begins to fall freely. The bullet will

  • A. go above the monkey
  • B. go below the monkey
  • C. may or may not hit the monkey. It will depend upon the velocity of the bullet
  • D. hit the monkey

ANS: D

2. Two anti-aircraft guns fire two shells, one at an angle of 20° with the horizontal and the other at an angle of 70° with the horizontal. If muzzle velocity is same in both the cases, then

  • A. the first shell has a smaller horizontal range
  • B. the second shell has a smaller horizontal range
  • C. both the shells have the same vertical range
  • D. both the shells have the same horizontal range

ANS: D

3. Particles that most affects material properties.

  • A. Neutrons
  • B. Protons
  • C. Electrons
  • D. Valence electrons

ANS: D

4. A heavy uniform chain lies on a horizontal table top. If the coefficient of friction between the chain and the table is 0.25, then the maximum percentage of the length of the chain that can hang over one edge of the table is

  • A. 20%
  • B. 25%
  • C. 35%
  • D. 15%

ANS: A

5. The figure below shows system of three masses being pulled with a force F. The masses are connected to each other by strings. The horizontal surface is frictionless. The tension T1 in the first string is 16 N. The acceleration of the system is

  • A. m
  • B. 2 / m
  • C. 3 / m
  • D. 4 / m

ANS: B

6. There are atomic clocks capable of measuring time with an accuracy of 1 part in 1011. If two such clocks are operated with precision, then after running for 5000 years, these will record

  • A. a difference of nearly 1 s
  • B. a difference of 1 day
  • C. a difference of 1011
  • D. a difference of 1 year

ANS: A

7. Which one of the following is not a strong bond?

  • A. van der Waals bond
  • B. Covalent bond
  • C. Metallic bond
  • D. Ionic bond

ANS: A

8. A projectile is projected with kinetic energy of 800 J. If it has the maximum possible horizontal range, then its kinetic energy at the highest point will be

  • A. 800 J
  • B. 400 J
  • C. 200 J
  • D. 100 J

ANS: B

9. If the air resistance causes a vertical retardation of 10% of value of acceleration due to gravity, then the time of flight of an oblique projectile will be decreased by nearly

  • A. 6%
  • B. 7%
  • C. 8%
  • D. 9%

ANS: D

10. A projectile A is thrown at an angle of 30° to the horizontal from point P. At the same time, another projectile B is thrown with velocity v2 upwards from the point Q vertically below the highest point. For B to collide with A, v2/v1 should be

  • A. 1
  • B. 2
  • C. ½
  • D. 4

ANS: C

11. If a material is subjected to two incremental true strains namely ε1 and ε2, then the total true strain is

  • A. ε1 x ε2
  • B. ε1 - ε2
  • C. ε1 + ε2
  • D. ε1/ε2

ANS: C

12. The boundary line between (liquid) and (liquid + solid) regions must be part of

  • A. Solvus
  • B. Solidus
  • C. Liquidus
  • D. Tie-line

ANS: C

13. A perfectly reversible heat pump with a coefficient of performance of 14 supplies energy to a building as heat to maintain its temperature at 27°C. If the pump motor does work at the rate of 1 kW, at what rate does the pump supply energy to the building as heat?

  • A. 15 kW
  • B. 3.85 kW
  • C. 1.35 kW
  • D. 1.07 Kw

ANS: A

14. A machine gun mounted on a 2000 kg car on a horizontal frictionless surface fire 10 bullets per second. If 10 g be the mass of each bullet and 500 m/s the velocity of each bullet, then the acceleration of the car will be

  • A. 1/10 ms-2
  • B. 1/20 ms-2
  • C. 1/40 ms-2
  • D. 1/60 ms-2

ANS: C

15. A heat engine operates between 200 K and 100 K. In each cycle it takes 100 J from the hot reservoir, loses 25 J to the cold reservoir, and does 75 J of work. This heat engine violates

  • A. both the first and second laws of thermodynamics
  • B. the first law but not the second law of thermodynamics
  • C. the second law but not the first law of thermodynamics
  • D. neither the first law nor the second law of thermodynamics

ANS: C

16. Mean distance between atoms in the range of

  • A. 25 nm
  • B. 2.5 nm
  • C. 0.25 nm
  • D. 0.025 nm

ANS: C

17. Octane, a component of gasoline, has eight carbon atoms and eighteen hydrogen atoms per molecule. Its formula is written as

  • A. C18H8
  • B. C8H18
  • C. C8H18
  • D. C4H9

ANS: C

18. The boundary line between (alpha) and (alpha + beta) regions must be part of

  • A. Solvus
  • B. Solidus
  • C. Liquidus
  • D. Tie-line

ANS: A

19. A method of computing depreciation in which the annual charge is a fixed percentage of the depreciated book value at the beginning of the year to which the depreciation applies.

  • A. straight
  • B. sinking fund
  • C. sum of-the year’s digit
  • D. declining balance

ANS: D

20. The approximate value of g at an altitude above Earth equal to one Earth diameter is

  • A. 9.8 m/s2
  • B. 4.9 m/s2
  • C. 2.5 m/s2
  • D. 1.1 m/s2

ANS: D

21. Bromine, with atomic mass 79.942 u, is composed of nearly equal amounts of two isotopes, one of which contains 79 nucleons per atom. The mass number of the other isotope is

  • A. 78
  • B. 79
  • C. 80
  • D. 81

ANS: D

22. Water flows through a cylindrical pipe of varying cross section. The velocity is 3.0 m/s at a point where the pipe diameter is 1.0 cm. At a point where the pipe diameter is 3.0 cm, the velocity is

  • A. 9 m/s
  • B. 3 m/s
  • C. 1 m/s
  • D. 0.33 m/s

ANS: D

23. A 5.0-kg crate is on an incline that makes an angle of 30° with the horizontal. If the coefficient of static friction is 0.5, the maximum force that can be applied parallel to the plane without moving the crate is

  • A. 0
  • B. 3.3 N
  • C. 30 N
  • D. 46 N

ANS: D

24. The profit derived from a project or business enterprise without consideration of obligations to financial contributors or claims of other based on profit.

  • A. economic return
  • B. yield
  • C. earning value
  • D. expected yield

ANS: A

25. A cube with edges exactly 2 cm long is made of material with a bulk modulus of 3.5 × 109 N/m2. When it is subjected to a pressure of 3.0 × 105 Pa its volume is

  • A. 7.31 cm3
  • B. 7.99931 cm3
  • C. 8.00069 cm3
  • D. 8.69 cm3

ANS: B

26. Block A, with mass mA, is initially at rest on a horizontal floor. Block B, with mass mB, is initially at rest on the horizontal top surface of A. The coefficient of static friction between the two blocks is µs. Block A is pulled with a horizontal force. It begins to slide out from under B if the force is greater than:

  • A. mAg
  • B. mBg
  • C. µsmAg
  • D. µs (mA +mB)g

ANS: D

27. A distinct legal entity which can practically transact any business transaction which a real person could do.

  • A. sole proprietorship
  • B. enterprise
  • C. partnership
  • D. corporation

ANS: D

28. An example of an inertial reference frame is

  • A. any reference frame that is not accelerating
  • B. a frame attached to a particle on which there are no forces
  • C. any reference frame that is at rest
  • D. a reference frame attached to the center of the universe

ANS: B

29. An object moving in a circle at constant speed

  • A. must have only one force acting on it
  • B. is not accelerating
  • C. is held to its path by centrifugal force
  • D. has an acceleration of constant magnitude

ANS: D

30. The boundary line between (liquid + solid) and (solid) regions must be part of

  • A. Solvus
  • B. Solidus
  • C. Liquidus
  • D. Tie-line

ANS: B

31. A 50-N force is the only force on a 2-kg object that starts from rest. When the force has been acting for 2-s the rate at which it is doing work is

  • A. 75 W
  • B. 100 W
  • C. 1000 W
  • D. 2500 W

ANS: D

32. A disk is free to rotate on a fixed axis. A force of given magnitude F, in the plane of the disk, is to be applied. Of the following alternatives the greatest angular acceleration is obtained if the force is

  • A. applied tangentially halfway between the axis and the rim
  • B. applied tangentially at the rim
  • C. applied radially halfway between the axis and the rim
  • D. applied radially at the rim

ANS: B

33. A cylinder is 0.10 m in radius and 0.20 m in length. Its rotational inertia, about the cylinder axis on which it is mounted, is 0.020 kg · m2. A string is wound around the cylinder and pulled with a force of 1.0 N. The angular acceleration of the cylinder is

  • A. 2.5 rad/s2
  • B. 5.0 rad/s2
  • C. 10 rad/s2
  • D. 15 rad/s2

ANS: B

34. Figure-out the odd point in the following

  • A. Proportional limit
  • B. Elastic limit
  • C. Yield point
  • D. Fracture point

ANS: D

35. Two supports, made of the same material and initially of equal length, are 2.0 m apart. A stiff board with a length of 4.0 m and a mass of 10 kg is placed on the supports, with one support at the left end and the other at the midpoint. A block is placed on the board a distance of 0.50 m from the left end. As a result the board is horizontal. The mass of the block is

  • A. zero
  • B. 2.3 kg
  • C. 6.6 kg
  • D. 20 kg

ANS: D

36. The bulk modulus is a proportionality constant that relates the pressure acting on an object to

  • A. the shear
  • B. the fractional change in volume
  • C. the fractional change in length
  • D. Young’s modulus

ANS: B

37. Fahrenheit and Kelvin scales agree numerically at a reading of

  • A. -40
  • B. 0
  • C. 273
  • D. 574

ANS: D

38. If the molecules in a tank of hydrogen have the same rms speed as the molecules in a tank of oxygen, we may be sure that

  • A. the pressures are the same
  • B. the hydrogen is at the higher temperature
  • C. the hydrogen is at the greater pressure
  • D. the oxygen is at the higher temperature

ANS: D

39. Capitalized cost of any structure or property is equal to

  • A. first cost + interest
  • B. annual cost of the first cost
  • C. first cost + cost of perpetual maintenance, operation and replacement
  • D. first cost + salvage value

ANS: C

40. A 40-cm long string, with one end clamped and the other free to move transversely, is vibrating in its fundamental standing wave mode. The wavelength of the constituent travelling waves is

  • A. 10 cm
  • B. 20 cm
  • C. 40 cm
  • D. 160 cm

ANS: D

41. A sample of argon gas (molar mass 40 g) is at four times the absolute temperature of a sample of hydrogen gas (molar mass 2 g). The ratio of the rms speed of the argon molecules to that of the hydrogen is

  • A. 1
  • B. 5
  • C. 1/5
  • D. √5

ANS: D

42. The rotational inertia of a solid uniform sphere about a diameter is 2/5 MR2, where M is its mass and R is its radius. If the sphere is pivoted about an axis that is tangent to its surface, its rotational inertia is:

  • A. MR2
  • B. 2/5 MR2
  • C. 3/5 MR2
  • D. 7/5 MR2

ANS: D

43. Young’s modulus is a proportionality constant that relates the force per unit area applied perpendicularly at the surface of an object to

  • A. the shear
  • B. the fractional change in volume
  • C. the fractional change in length
  • D. the pressure

ANS: C

44. One piston in a hydraulic lift has an area that is twice the area of the other. When the pressure at the smaller piston is increased by Δp the pressure at the larger piston

  • A. increases by 2Δp
  • B. increases by Δp/2
  • C. increases by Δp
  • D. increases by 4Δp

ANS: C

45. An insulated container, filled with water, contains a thermometer and a paddle wheel. The paddle wheel can be rotated by an external source. This apparatus can be used to determine

  • A. specific heat of water
  • B. relation between kinetic energy and absolute temperature
  • C. efficiency of changing work into heat
  • D. mechanical equivalent of heat

ANS: D

46. If two objects are in thermal equilibrium with each other:

  • A. they cannot be moving
  • B. they cannot be undergoing an elastic collision
  • C. they cannot have different pressures
  • D. they cannot be at different temperatures

ANS: D

47. Take the mechanical equivalent of heat as 4 J/cal. A 10-g bullet moving at 2000 m/s plunges into 1 kg of paraffin wax (specific heat 0.7 cal/g·C°). The wax was initially at 20° C. Assuming that all the bullet’s energy heats the wax, its final temperature (in °C) is

  • A. 20.14
  • B. 23.5
  • C. 20.006
  • D. 27.1

ANS: D

48. The flow back of profit plus depreciation from a given project is called

  • A. capital recovery
  • B. cash flow
  • C. economic return
  • D. earning value

ANS: B

49. A stone is tied to a string and whirled at constant speed in a horizontal circle. The speed is then doubled without changing the length of the string. Afterward the magnitude of the acceleration of the stone is:

  • A. the same
  • B. twice as great
  • C. four times as great
  • D. half as great

ANS: C

50. A disk with a rotational inertia of 5.0 kg·m2 and a radius of 0.25 m rotates on a fixed axis perpendicular to the disk and through its center. A force of 2.0 N is applied tangentially to the rim. As the disk turns through half a revolution the work done by the force is

  • A. 1.6 J
  • B. 2.5 J
  • C. 6.3 J
  • D. 10 J

ANS: A

51. Ideal monatomic gas A is composed of molecules with mass m while ideal monatomic gas B is composed of molecules with mass 4 m. The average translational kinetic energies are the same if the ratio of the temperatures TA/TB is:

  • A. ¼
  • B. ½
  • C. 1
  • D. 2

ANS: C

52. A projectile is fired from ground level over level ground with an initial velocity that has a vertical component of 20 m/s and a horizontal component of 30 m/s. Using g = 10 m/s2, the distance from launching to landing points is

  • A. 40 m
  • B. 60 m
  • C. 80 m
  • D. 120 m

ANS: D

53. The recorded current value of an asset is known as

  • A. scrap value
  • B. salvage value
  • C. book value
  • D. present worth

ANS: C

54. A ball with a weight of 1.5 N is thrown at an angle of 30° above the horizontal with an initial speed of 12 m/s. At its highest point, the net force on the ball is

  • A. 9.8 N, 30° below horizontal
  • B. zero
  • C. 9.8 N, up
  • D. 1.5 N, down

ANS: D

55. String is wrapped around the periphery of a 5.0-cm radius cylinder, free to rotate on its axis. The string is pulled straight out at a constant rate of 10 cm/s and does not slip on the cylinder. As each small segment of string leaves the cylinder, its acceleration changes by:

  • A. 0
  • B. 0.010 m/s2
  • C. 0.020 m/s2
  • D. 0.20 m/s2

ANS: D

56. A flywheel of diameter 1.2 m has a constant angular acceleration of 5.0 rad/s2. The tangential acceleration of a point on its rim is:

  • A. 5.0 rad/s2
  • B. 3.0 m/s2
  • C. 5.0 m/s2
  • D. 3.0 rad/s2

ANS: B

57. A playground merry-go-round has a radius of 3.0 m and a rotational inertia of 600 kg·m2. It is initially spinning at 0.80 rad/s when a 20-kg child crawls from the center to the rim. When the child reaches the rim the angular velocity of the merry-go-round is:

  • A. 0.62 rad/s
  • B. 0.73 rad/s
  • C. 0.80 rad/s
  • D. 0.89 rad/s

ANS: A

58. When two gases separated by a diathermal wall are in thermal equilibrium with each other:

  • A. only their pressures must be the same
  • B. only their volumes must be the same
  • C. they must have the same number of particles
  • D. only their temperatures must be the same

ANS: D

59. A balloon is filled with cold air and placed in a warm room. It is NOT in thermal equilibrium with the air of the room until:

  • A. it rises to the ceiling
  • B. it sinks to the floor
  • C. it stops expanding
  • D. it starts to contract

ANS: C

60. During a slow adiabatic expansion of a gas:

  • A. the pressure remains constant
  • B. energy is added as heat
  • C. work is done on the gas
  • D. no energy enters or leaves as heat

ANS: D

61. Two objects with masses of m1 and m2 have the same kinetic energy and are both moving to the right. The same constant force F is applied to the left to both masses. If m1 = 4m2, the ratio of the stopping distance of m1 to that of m2 is:

  • A. 1:4
  • B. 4:1
  • C. 1:2
  • D. 1:1

ANS: D

62. A stone is released from rest from the edge of a building roof 190 m above the ground. Neglecting air resistance, the speed of the stone, just before striking the ground, is

  • A. 43 m/s
  • B. 61 m/s
  • C. 120 m/s
  • D. 190 m/s

ANS: B

63. A man weighing 700 Nb is in an elevator that is accelerating upward at 4 m/s2. The force exerted on him by the elevator floor is

  • A. 71 N
  • B. 290 N
  • C. 410 N
  • D. 990 N

ANS: D

64. The lessening of the value of an asset due to the decrease in the quantity available (referring to the natural resources, coal, etc.)

  • A. depreciation
  • B. depletion
  • C. inflation
  • D. incremental cost

ANS: B

65. A cube of aluminum has an edge length of 20 cm. Aluminum has a density 2.7 times that of water (1 g/cm3) and a specific heat 0.217 times that of water (1 cal/g·C°). When the internal energy of the cube increases by 47000 cal its temperature increases by

  • A. 5 C°
  • B. 10 C°
  • C. 20 C°
  • D. 100 C°

ANS: B

66. A Carnot heat engine and an irreversible heat engine both operate between the same high temperature and low temperature reservoirs. They absorb the same energy from the high temperature reservoir as heat. The irreversible engine

  • A. does more work
  • B. transfers more energy to the low temperature reservoir as heat
  • C. has the greater efficiency
  • D. has the same efficiency as the reversible engine

ANS: B

67. Glycine, one of the essential amino acids, has two carbon atoms, five hydrogen atoms, two oxygen atoms, and one nitrogen atom per molecule. Its formula is written as

  • A. C2H5NO2
  • B. Ca2H5NO2
  • C. C2H5NeO2
  • D. CHNO2

ANS: A

68. Some common ions based on Group 1A or alkali metal elements are

  • A. Na+, Ca2+, Fe3+
  • B. Na+, Li+, Cs+
  • C. Li+, Ag+, Au+
  • D. Ca2+, Ba2+, Sr2+

ANS: B

69. The molar mass of hydrazine, N2H4, is

  • A. 4.08 g/mol
  • B. 28.00 g/mol
  • C. 16.03 g/mol
  • D. 32.05 g/mol

ANS: D

70. An association of two or more persons for a purpose of engaging in a profitable business.

  • A. sole proprietorship
  • B. enterprise
  • C. partnership
  • D. corporation

ANS: C

71. Transition metals can combine with carbon monoxide (CO) to form compounds such as Fe(CO)5 and CO2(CO)8. Assume that you combine 0.125 g of nickel with CO and isolate 0.364 g of Ni(CO)x. What is the value of x?

  • A. 1
  • B. 2
  • C. 3
  • D. 4

ANS: D

72. A real gas undergoes a process that can be represented as a curve on a p-V diagram. The work done by the gas during this process is:

  • A. pV
  • B. p(V2 – V1)
  • C. (p2 – p1)V
  • D. ∫pdV

ANS: D

73. An inventor claims to have a heat engine that has an efficiency of 40% when it operates between a high temperature reservoir of 150° C and a low temperature reservoir of 30° C. This engine:

  • A. must violate the zeroth law of thermodynamics
  • B. must violate the first law of thermodynamics
  • C. must violate the second law of thermodynamics
  • D. must violate the third law of thermodynamics

ANS: C

74. How many grams are there in 1.36 mol of ethyl alcohol, C2H6O?

  • A. 0.0160 g
  • B. 123 g
  • C. 62.7 g
  • D. 6.27 g

ANS: C

75. What is the name given to the type of a chemical reaction characterized by the release of heat energy?

  • A. endothermic
  • B. nonspontaneous
  • C. exothermic
  • D. adiabatic

ANS: C

76. A quantity of an ideal gas is compressed to half its initial volume. The process may be adiabatic, isothermal, or isobaric. Rank those three processes in order of the work required of an external agent, least to greatest.

  • A. adiabatic, isothermal, isobaric
  • B. adiabatic, isobaric, isothermal
  • C. isothermal, adiabatic, isobaric
  • D. isobaric, isothermal, adiabatic

ANS: D

77. During a reversible adiabatic expansion of an ideal gas, which of the following is NOT true?

  • A. pVγ = constant
  • B. pV = nRT
  • C. TVγ-1 = constant
  • D. pV = constant

ANS: D

78. In order that a single process be both isothermal and isobaric:

  • A. one must use an ideal gas
  • B. such a process is impossible
  • C. a change of phase is essential
  • D. one may use any real gas such as N2

ANS: C

79. A condition where only few individual produce a certain product that action of one will lead to almost the same action by the other.

  • A. monopoly
  • B. oligopoly
  • C. semi-monopoly
  • D. perfect competition

ANS: B

80. If R is the range for an angle of projection of 15° with the horizontal, then the other angle of projection for which the range is R, is

  • A. 75°
  • B. 60°
  • C. 45°
  • D. 30°

ANS: A

81. An object is thrown along a direction inclined at an angle of 45° with the horizontal direction. The horizontal range of the particle is

  • A. four times the vertical height
  • B. thrice the vertical height
  • C. twice the vertical height
  • D. equal to vertical height

ANS: A

82. A ball is projected with kinetic energy K at an angle of 45° to the horizontal. At the highest point during its flight, its kinetic energy will be

  • A. K
  • B. K/√2
  • C. K/2
  • D. zero

ANS: C

83. Is the simplest form of business organization?

  • A. sole proprietorship
  • B. partnership
  • C. partnership
  • D. corporation

ANS: A

84. The enthalpy change is the heat absorbed or given off during a chemical reaction that occurs at constant.

  • A. temperature
  • B. reaction rate
  • C. volume
  • D. pressure

ANS: D

85. Two balls are projected from the same point in directions at 30° and 60° with the horizontal. Both the balls attain the same height. The ratio of their velocities of projection is

  • A. √3 : 2
  • B. √3 : 3
  • C. √3 : 5
  • D. √3 : 1

ANS: D

86. Citric acid, C6H8O7, is found in many fruits. What is the weight percent of carbon in the compound?

  • A. 37.5%
  • B. 4.2%
  • C. 58.3%
  • D. 18.8%

ANS: A

87. A bomb is dropped on an enemy post by an airplane flying horizontally with a velocity of 60 km/h and at a height of 490 m. At the time of dropping the bomb, how far the airplane should be from the enemy post so that the bomb may directly hit the target?

  • A. 400/3 m
  • B. 500/3 m
  • C. 1700/3 m
  • D. 250/3 m

ANS: B

88. An airplane flying horizontally with a velocity of 216 km/hr drops a food packet while flying at a height of 490 m. The total horizontal distance travelled by the packet is

  • A. 600 m
  • B. 490 m
  • C. 216 m
  • D. 500 m

ANS: A

89. Two bodies of masses m1 and m2 are connected by a light, inextensible string which passes over a frictionless pulley. If the pulley is moving upward with uniform acceleration g, then the tension in the string is

  • A. (4m1m2) / (m1 + m2) g
  • B. (m1 + m2) / (4m1m2) g
  • C. (m1m2) / (m1 + m2) g
  • D. (m1 – m2) / (4m1 + m2) g

ANS: A

90. Young’s Modulus is the

  • A. ratio of stress to strain
  • B. ratio of strain to stress
  • C. force per unit area
  • D. force per unit elongation

ANS: A

91. The molar mass of vitamin C, C6H8O6, is

  • A. 29.02 g/mol
  • B. 230.13 g/mol
  • C. 176.13 g/mol
  • D. 72.00 g/mol

ANS: C

92. Based on everyday experience, which of the following substances has the smallest specific heat capacity, that is, which one heats up most readily?

  • A. water
  • B. copper
  • C. wood
  • D. cement

ANS: B

93. A block of mass 1 kg is at rest on a horizontal table. The coefficient of static friction between the block and table is 0.5. If g = 10 m/s2, then the magnitude of the force acting upward at an angle of 60° from the horizontal that will just start the block moving is

  • A. 5 N
  • B. 5.36 N
  • C. 74.6 N
  • D. 10 N

ANS: B

94. Potassium metal (3.91 g) is allowed to react with excess oxygen (O2). The reaction yields 7.11 g of an explosive, yellow solid called a “superoxide.” What is the empirical formula of the compound?

  • A. KO
  • B. KO2
  • C. K2O
  • D. K2O3

ANS: B

95. How many moles are contained in 0.206 g of potassium sulfate?

  • A. 1.63 x 10-3 mol
  • B. 846 mol
  • C. 1.52 x 10-3 mol
  • D. 1.18 x 10-3 mol

ANS: D

96. If there is a positive error of 50% in the measurement of speed of a body, then the error in the measurement of kinetic energy is

  • A. 25%
  • B. 50%
  • C. 100%
  • D. 125%

ANS: D

97. A particle is moving on a circular path with constant speed v. What is the change in its velocity after it has described an angle of 60°?

  • A. v√2
  • B. v√3
  • C. v
  • D. 2v

ANS: C

98. A car with a vertical wind shield moves along in a rain storm at speed of 40 km/h. The rain drops fall vertically with a terminal speed of 20 m/s. The angle at which the rain drops strike the wind shield is

  • A. tan-1 (2/3)
  • B. tan-1 (3/2)
  • C. tan-1 (5/9)
  • D. tan-1 (9/5)

ANS: C

99. The center of gravity of a body

  • A. must be within the body
  • B. may be near but not necessarily within the body
  • C. can never be precisely located
  • D. changes its position from time to time

ANS: B

100. The acceleration of a body revolving in a circle at uniform speed is

  • A. Zero
  • B. Directed tangentially
  • C. directed toward the center
  • D. directed away from the center

ANS: C

Complete List of General Engineering and Applied Sciences Exams: ECE Pre-Board


MCQs in Engineering Economics

This is the Multiples Choice Questions Part 27 of the Series in Engineering Economics as one of the General Engineering and Applied Sciences (GEAS) topic. In Preparation for the ECE Board Exam make sure to expose yourself and familiarize in each and every questions compiled here taken from various sources including past Board Questions in General Engineering and Applied Sciences (GEAS), Engineering Economy Books, Journals and other Engineering Economy References.

Online Questions and Answers in Engineering Economics Series

Following is the list of multiple choice questions in this brand new series:

Engineering Economics MCQs
PART 1: MCQs from Number 1 – 50                        Answer key: PART I
PART 2: MCQs from Number 51 – 100                   Answer key: PART II
PART 3: MCQs from Number 101 – 150                 Answer key: PART III
PART 4: MCQs from Number 151 – 200                 Answer key: PART IV
PART 5: MCQs from Number 201 – 250                 Answer key: PART V
PART 6: MCQs from Number 251 – 300                 Answer key: PART VI
PART 7: MCQs from Number 301 – 350                 Answer key: PART VII
PART 8: MCQs from Number 351 – 400                 Answer key: PART VIII
PART 9: MCQs from Number 401 – 450                 Answer key: PART IX
PART 27: MCQs from Number 1301 – 1350                 Answer key: PART XXVII

Continue Practice Exam Test Questions Part XXVII of the Series

Choose the letter of the best answer in each questions.

1301. A fixed capital investment of P10,000,000 is required for a proposed manufacturing plant and an estimated working capital of P2,000,000. Annual depreciation is estimated to be 10% of the fixed capital investment. Determine the rate of return on the total investment and the minimum pay out period if the annual profit is P2,500,000.

  • a. 20.38% ; 2.68 
  • b. 20.83% ; 2.86
  • c. 23.80% ; 6.28
  • d. 23.08% ; 6.66

1302. A 500kw electric lighting plant cost P95 per kw installed. Fixed charges is 14%, operating cost is P0.013 per kw-hr. The plant averages 150kw for 5000 hour of the year, 420 kw for 1000 hour and 20kw for the remainder. What is the unit cost of production of electric energy?

  • a. P0.0184
  • b. P0.1084
  • c. P0.1840
  • d. P0.8104

1303. A mechanical engineer who was awarded a P450,000 contract to install the machineries of an oil mill failed to finish the work on time. As provided for in the contract, he has to pay a daily penalty equivalent to one fourth of one percent per day for the next ten days and one percent per day for every day thereafter. If the total penalty was P60750, how many days was the completion of the contract delayed?

  • a. 30 days
  • b. 22 days
  • c. 26 days
  • d. 24 days

1304. By selling balut at P5 per dozen, a vendor gains 20%. The cost of the eggs rises by 12.5%. If he sells at the same price as before, find his new gain %.

  • a. 5.5% 
  • b. 6.6%
  • c. 7.7%
  • d. 7.6%

1305. In a certain department store, the monthly salary of a saleslady is partly constant and partly varies as the value of her sales for the month. When the value of her sales for the month is P10,000, her salary for that month is P900, when her monthly sales goes up to P12,000, her monthly salary goes up to P1,000. What must be the value of her sales for the month so that her salary for that month would be P2,000?

  • a. P32,000
  • b. P35,000
  • c. P30,000
  • d. P40,000

1306. An equipment installation job in the completion stage can be completed in 50 days of 8 hour day work, with 50 men working. With the contract expiring in 40 days, the mechanical engineer contractor decided to add 15 men on the job, overtime not being permitted. If the liquidated damages is P5,00 per day of delay, and the men are paid P150 per day, how much money would he save with the additional workers?

  • a. P44570
  • b. P44750
  • c. P47540
  • d. P45407

1307. Jojo bought a second hand Betamax VCR and then sold it to Rudy at a profit of 40%; Rudy then sold the VCR to Noel at a profit of 20%. If Noel paid P2,856 more than it cost Jojo, how much did Jojo pay for the unit?

  • a. P2200
  • b. P4400
  • c. P2400
  • d. P4200

1308. Dalisay Corporation’s gross margin is 45% of sales. Operating expenses such as sales and administration are 15% of sales. Dalisay is in 40% tax bracket. What percent of sales is their profit after taxes?

  • a. 18%
  • b. 5%
  • c. 24%
  • d. 0%

1309. A manufacturer of sports equipment produces tennis rackets for which there is a demand of 200 per month. The production setup cost for each lot of racket is O300. IN addition, the inventory carrying cost for each racket is P24 per year. Using the Economic Order Quantity (EQQ) model, which is the best production batch size fro the rackets?

  • a. 71 units
  • b. 173 units
  • c. 245 units
  • d. 346 units

1310. 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 hour
  • b. 0.75 hours
  • c. 3 hours
  • d. 2.25 hours

1311. A businessman wishes to earn 7% on his capital after payment of taxes. If the income from an available investment will be taxed at an average of 42%, what minimum rate or return, before payment of taxes, must the investment offer to be justified?

  • a. 12.1%
  • b. 10.7%
  • c. 11.1%
  • d. 12.7%

1312. A 200 hp generator is being considered for purchase. The generator will cost P320,000 with a life expectancy of 10 years, with an efficiency of 82%. The maintenance cost per year is P5,000. This generator is used for 300 hours per year and the cost of fuel, oil is P0.12 per kilowatt-hour. (1hp = 0.746kw). Assuming the generator will have no salvage value, what will be the monthly cost of maintaining the generator?

  • a. P842.40
  • b. P962.52
  • c. P786.40
  • d. P695.40

1313. An engineer buys a machine costing P500,000. Compute the capitalized cost if the machine has a life of 5 years and a salvage value of P80,000. Rate of interest is 12% per annum.

  • a. P2,424,732
  • b. P1,050,934
  • c. P2,431,643
  • d. P5,124,153

1314. A project costing P250,000 yields a yearly benefit of P80,000 for a period of 10 years with no salvage value at an interest rate of 6%. What is the benefit cost ratio?

  • a. 4.24
  • b. 3.85
  • c. 2.36
  • d. 4.30

1315. A company constructed its factory with a fixed capital investment of P120M. The net income after the tax and depreciation is expected to be P23m per year. Annual depreciation cost is 10 % of fixed capital investment. Determine the payout period in years.

  • a. 3.04 years
  • b. 2.54 years
  • c. 3.43 years
  • d. 4.85 years

1316. A machinery costing P720,000 is estimated to have a book value of P40,545.73 when retired at the end of 10 years. Depreciation cost is computed using a constant percentage of the declining book value. What is the annual rate of depreciation?

  • a. 20%
  • b. 25%
  • c. 30%
  • d. 35%

1317. An asset is purchased for P9,000. Its estimated economic life is 10 years after which it will be sold for P1,000. Find the depreciation in the first three years using straight line method.

  • a. P2,400.00
  • b. P2,412.34
  • c. P2,250.00
  • d. P2,450.00

1318. An engineer bought an equipment for P500,000. He spent an additional amount of P30,000 for installation and other expenses. The estimated useful life of the equipment is 10 years. The salvage value is x% of the first cost. Using the straight line method of depreciation, the book value at the end of 5 years will be P291,500. What is the value of x?

  • a. 20%
  • b. 40%
  • c. 30%
  • d. 10%

1319. The initial cost of a paint sand mill, including its installation is P800,000. The BIR approved life of this machine is 10 years for depreciation. The estimated salvage value of the mill is P50,000 and the cost of dismantling is estimated to be P15,000. Using straight line depreciation, what is the annual depreciation charge?

  • a. P75,500
  • b. P76,000
  • c. P76,500
  • d. P77,000

1320. The initial cost of a paint sand mill, including its installation is P800,000. The BIR approved life of this machine is 10 years for depreciation. The estimated salvage value of the mill is P50,000 and the cost of dismantling is estimated to be P15,000. Using straight line depreciation, what is book value of the machine at the end of 6 years?

  • a. P341,000
  • b. P343,000
  • c. P340,000
  • d. P342,000

1321. A unit of welding machine cost P45,000 with an estimated life of 5 years. Its salvage value is P2,500. Find its depreciation rate by straight line method.

  • a. 18.89%
  • b. 19.21%
  • c. 19.58%
  • d. 19.89%

1322. A tax and duty free importation of a 30hp sand mill for painting manufacturing cost P360,000. Bank charges and brokerage cost P5,000. Foundation and installation costs were P25,000. Other incidental expenses amount to P20,000. Salvage value of the mills estimated to be P60,000 after 20 years. Find the appraisal value of the mill using straight line depreciation at the end of 10 years.

  • a. P234,000
  • b. P235,000
  • c. P234,500
  • d. P235,500

1323. An equipment costs P10,000 with a salvage value of P500 at the end of 10 years. Calculate the annual depreciation cost by sinking fund method at 4% interest.

  • a. P721.54
  • b. P724.56
  • c. P791.26
  • d. P721.76

1324. An equipment costs P50,000 with a salvage value of P250 at the end of 10 years. Calculate the annual depreciation cost by sinking fund method at 8% interest.

  • a. P3123.53
  • b. P3223.75
  • c. P3434.22
  • d. P3241.24

1325. An asset is purchased for P12,000. Its estimated economic life is 20 years after which it will be sold for P5,000. Find the depreciation in the first five years using straight line method.

  • a. P1,450
  • b. P1,412
  • c. P1,250
  • d. P1,750

1326. What is the difference of the amount 5 years from now for a 12% simple interest and 12% compound interest per year?(P8,000 accumulated)

  • a. P1298.73
  • b. P1281.24
  • c. P1224.97
  • d. P1862.76

1327. Find the discount if P5,500 is discounted for 9 months at 15% compounded quarterly.

  • a. P2442.09
  • b. P1248.24
  • c. P1883.66
  • d. P2451.99

1328. Find the ordinary simple interest at 7.5% on P5000 and the corresponding amount at the end of 59 days.

  • a. P2145.24
  • b. P2241.12
  • c. P5061.45
  • d. P5123.24

1329. Find the exact simple interest at 7.5% on P5000 and the corresponding amount at the end of 59 days.

  • a. P5187.24
  • b. P5221.12
  • c. P5021.45
  • d. P5060.60

1330.) If P1050 accumulate P1275 when invested at a simple interest for 3 years. What is the rate of interest?

  • a. 4.21%
  • b. 5.85%
  • c. 6.73%
  • d. 7.14%

1331. Determine the exact simple interest on P5,000 investment for the period from January 15, 1996 to October 12, 1996 of the rate of interest in 18%.

  • a. P666.39
  • b. P621.22
  • c. P632.40
  • d. P636.29

1332. The exact simple interest of P5000, invested from June 21, 1995 to December 25, 1995, is P100. What is the rate of interest?

  • a. 2.4%
  • b. 3.2%
  • c. 2.7%
  • d. 3.9%

1333. The amount of P50,000 was deposited in the bank earning at 7.5% per annum. Determine the total amount at the end of 5 years if the principle and interest were not withdrawn during the period.

  • a. P24,257.75
  • b. P71,781.47
  • c. P70,024.29
  • d. P29,240.99

1334. Determine the future amount of P100 for 10.25 years at a rate of 5% compounded monthly.

  • a. P166.77
  • b. P224.09
  • c. P163.12
  • d. P214.12

1335. Determine the future amount of P100 for 10.25 years at a rate of 5% compounded quarterly.

  • a. P124.02
  • b. P166.42
  • c. P182.42
  • d. P175.10

1336. Determine the future amount of P100 for 10.25 years at a rate of 5% compounded semi-annually.

  • a. P153.29
  • b. P165.90
  • c. P169.22
  • d. P173.24

1337. Determine the future amount of P100 for 10.25 years at a rate of 5% compounded daily.

  • a. P129.24
  • b. P166.94
  • c. P195.32
  • d. P128.87

1338. What is the present worth of a P500 annuity starting at the end of the third year and continuing to the end of the fourth year, if the annual interest rate is 10%?

  • a. P717.17
  • b. P252.91
  • c. P720.24
  • d. P287.09

1339. Today a businessman borrowed money to be paid in 10 equal payments for 10 quarters. If the interest rate is 10% compounded quarterly and the quarterly payment is P2,000, how much did he borrow?

  • a. P24214.23
  • b. P24311.53
  • c. P15125.24
  • d. P17504.13

1340. What annuity is required over 12 years to equate with a future amount of P20,000? Assume i=6% annually.

  • a. P1121.24
  • b. P1244.22
  • c. P2314.12
  • d. P1185.54

1341. Find the annual payment to extinguish a debt of P10,000 payable for 6 years at 12% interest annually.

  • a. P2214.42
  • b. P2432.26
  • c. P2525.24
  • d. P2044.83

1342. A bond issue of P50,000 in 10 years, bonds in P1000 units paying 10% interest in annual payments, must be retired by the use of sinking fund which earns 8% compounded annually. What is the total cost for the interest ad retirement of the entire bond issue.

  • a. P82,241
  • b. P84,150
  • c. P82,214
  • d. P84,510

1343. Determine the amount of interest you would receive per period if you purchase a 6%, P5000 bond which matures in 10 years with interest payable quarterly.

  • a. P24
  • b. P98
  • c. P75
  • d. P52

1344. A corporation floats callable bonds amounting to P100,000 each having a par value of P500, the bond rate is 7.5% and the bonds are to be retired in 5 years, the annual payments being as nearly equal as possible. What is the total payment for the whole period of 5 years?

  • a. P123,625
  • b. P124,241
  • c. P214,124
  • d. P923,124

1345. A book store purchased the best selling book at P200. At what price should this book be sold so that by giving a 20% discount, the profit is 30%.

  • a. P200
  • b. P300
  • c. P400
  • d. P500

1246. The selling price of a tv set is double that of its net cost. If the tv set is sold to a customer at a profit of 25% of the net cost, how much discount was given to the customer?

  • a. 35.8%
  • b. 37.5%
  • c. 34.5%
  • d. 44.5%

1347. 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 hour
  • b. 2 hours
  • c. 3 hours
  • d. 4 hours

1348. Mahusay Corporation’s gross margin is 55% of sales. Operating expenses such as sales and administration are 5% of sales. Mahusay is in 40% tax bracket. What percent of sales is their profit after taxes?

  • a. 20%
  • b. 30%
  • c. 40%
  • d. 50%

1349. How much money must you invest in order to withdraw P5000 annually for 20 years if the interest rate is 12%?

  • a. P37,347.22
  • b. P23,325.23
  • c. P38,243.29
  • d. P27,124.09

1350. If interest is at rate of 10% compounded semi-annually, what sum must be invested at the end of each 6 months to accumulate a fund of P12,000 at the end of 8 years?

  • a. P507.24
  • b. P451.24
  • c. P247.24
  • d. P694.92

Complete List of MCQs in General Engineering and Applied Science per topic


MCQs in Engineering Economics

This is the Multiples Choice Questions Part 26 of the Series in Engineering Economics as one of the General Engineering and Applied Sciences (GEAS) topic. In Preparation for the ECE Board Exam make sure to expose yourself and familiarize in each and every questions compiled here taken from various sources including past Board Questions in General Engineering and Applied Sciences (GEAS), Engineering Economy Books, Journals and other Engineering Economy References.

Online Questions and Answers in Engineering Economics Series

Following is the list of multiple choice questions in this brand new series:

Engineering Economics MCQs
PART 1: MCQs from Number 1 – 50                        Answer key: PART I
PART 2: MCQs from Number 51 – 100                   Answer key: PART II
PART 3: MCQs from Number 101 – 150                 Answer key: PART III
PART 4: MCQs from Number 151 – 200                 Answer key: PART IV
PART 5: MCQs from Number 201 – 250                 Answer key: PART V
PART 6: MCQs from Number 251 – 300                 Answer key: PART VI
PART 7: MCQs from Number 301 – 350                 Answer key: PART VII
PART 8: MCQs from Number 351 – 400                 Answer key: PART VIII
PART 9: MCQs from Number 401 – 450                 Answer key: PART IX
PART 26: MCQs from Number 1251 – 1300                 Answer key: PART XXVI

Continue Practice Exam Test Questions Part XXVI of the Series

Choose the letter of the best answer in each questions.

1251. A businessman borrowed P300,000 with interest at the rate of 6% compounded semi-annually. He agrees to discharge his obligation by paying a series of 8 equal semi-annual payments, the first being due at the end of 5.5 years. Find the semi-annual payment.

  • a. P69,475.53
  • b. P57,434.78
  • c. P73.083.59
  • d. P40,922.40

1252. A man borrowed P300,000 from a lending institution which will be paid after 10 years at an interest rate of 12% compounded annually. How much should he deposit to a bank monthly in order to discharge his debt 10 years hence?

  • a. P2,798.52
  • b. P3,952.50
  • c. P4,672.31
  • d. P5,093.06

1253. What is the accumulated amount of the five year annuity paying P6000 at the end of each year, with interest at 15% compounded annually?

  • a. P40,454.29
  • b. P41,114.29
  • c. P41,454.29
  • d. P40,544.29

1254. A man owes P12,000 today and agrees to discharge the debt by equal payments at the beginning of each 3 months for 8 years, where this payments include all interest at 8% payable quarterly. Find the quarterly payment.

  • a. P501.30
  • b. P602.40
  • c. P498.20
  • d. P701.60

1255. A man will deposit P200 with a savings and loan association at the beginning of 3 months for 9 years. If the association pays interest at the rate of 5.5%quarterly, find the sum to his credit just after the last deposit.

  • a. P9236
  • b. P9363
  • c. P9563
  • d. P9684

1256. At what interest rate payable quarterly will payments of P500 at the beginning of each 3 months for 7 years discharge a debt of P12500 due immediately?

  • a. 3.44%
  • b. 4.33%
  • c. 5.44%
  • d. 6.33%

1257. A P1,000,000 issue of 3% 15 years bonds was sold at 95%. If miscellaneous initial expenses of the financing were P20,000 and yearly expenses of P2,000 is incurred, what is the true cost the company is paying for the money it borrowed?

  • a. 2.6%
  • b. 4.2%
  • c. 4.0%
  • d. 3.8%

1258. A man was offered a Land Bank certificate with a face value of P100,000 which is baring interest of 8% per year payable semi-annually and due in 6 years. If he wants to earn 6% semi-annually, how much must he pay the certificate?

  • a. P96,041.92 
  • b. P90,061.49
  • c. P90,614.92
  • d. P99,814.92

1259. The National Irrigation Administration undertakes the construction of an irrigation project in the province of oriental Mindoro which will cover an area of 10,000 hectares and estimated cost P10,000,000 which was borrowed from the World Bank at the start of the construction. The construction will last 30 years with no salvage value. Bonds will be paid at 4% per annum compounded annually for 30 years. The construction of project will take 4 years. Insurance operation and maintenance of the system will cost P120,00 per year. Interest on sinking fund is 6%. How much should each hectare be charged?

  • a. P64.65
  • b. P66.56
  • c. P60.66
  • d. P45.65

1260. A company issued 50 bonds of P1,000 face value each redeemable at par at the end of 15 years to accumulate the funds required fro redemption. The firm established a sinking fund consisting of annual deposits, the interest rate of the fund being 4%. What was the principal in the fund at the end of 12th year?

  • a. P35,983
  • b. P38,378
  • c. P41,453
  • d. P37,519

1261. An oil well which could produce a net income of P15,000,000 per year for 25 years is being considered to be purchased by a group of businessman. If the return on investment is targeted to be 20% out of the net income and the sinking fund at 18% interest is to be established at recover of investment, how much must be paid to the oil well?

  • a. P70,215,276.17
  • b. P73,297,198.28
  • c. P73,921,184.58
  • d. P75,973,209.26

1262. An investor pays P1,100,000 for a mine which will yield a net income of P200,000 at the end of each year for 10 years and then will become useless. He accumulated a replacement fund to recover his capital by annual investments at 4.5%. At what rate(%) does he receive interest on his investment at the end of each year?

  • a. 10.04%
  • b. 8.5%
  • c. 11.5%
  • d. 14.5%

1263. A certain marble mine property has an estimated life of 30 years at a projected annual output of 3000 cubic meters of marble blocks. Estimated management cost per year is placed at P1,500,000 and operating cost of the quarry and processing plant is P8000 per cubic meter. The finished products, tiles and slabs, can be sold for P12,000 per cubic meter if exported. Determine the present valuation of the mineral property if the sinking fund rate of interest is 15% and the annual dividend rate is to be 12%.

  • a. P85,444,313.27
  • b. P85,554,371.18
  • c. P85,854,317.13
  • d. P85,345,365.28

1264. The annual dividend from a mine will be P75,000 until the ore is exhausted at the end of 30 days, and the mine becomes useless. Find the price of the mine to yield the investor 6.5%, if he accumulated a replacement fund to restore his capital by annual investment at 5%.

  • a. P936,897.63
  • b. P836,286.39
  • c. P982,286.29
  • d. P735,385.53

1265. The privileges of a patent will last for 20 more years and the royalty from it will be P60,000 at the end of each year during that time. Find the value of his patent rights to an investor who desires interest at 8% on his investment and will accumulate a capital replacement fund at 5%.

  • a. P594,297.20
  • b. P544,254.30
  • c. P405,384.28
  • d. P629,289.40

1266. The annual income from the mine is P100,000 and the life of the mine is 20 years. Find the price that an investor is willing to pay for the mine if he considers that money is worth 5% and if he is to accumulate a sinking fund at 6% in order to replace the capital he invested.

  • a. P1,295,595.57
  • b. P1,995,959.97
  • c. P1,529,847.29
  • d. P1,159,287.92

1267. An untreated electric wooden pole that will last 10 years under a certain soil conditions costs P1200. If a treated pole will last for 20 years, what is the maximum justifiable amount that can be paid for the treated pole, if the maximum return on investment is 12%? Consider annual taxes and insurance amount to be 1% at first cost.

  • a. P1,559.50
  • b. P1995.28
  • c. P1,593.20
  • d. P1,959.30

1268. A company must relocate one of its factories in three years. Equipment for the loading dock is being considered for purchase. The original cost is P20,000,000, the salvage value of the equipment after three years is P8,000. The company’s rate of return on money is 10%. Determine the capital recovery rate per year.

  • a. P5115
  • b. P4946
  • c. P5625
  • d. P4805

1269. A new engine will cost P12,000 with an estimated life of 15 years and a salvage value of P800 and guaranteed to have an operating cost of P3500 per year. The new engine is considered as a replacement of the old one. The old engine had a total annual cost of P5,200 to operate. Determine the rate of return of the new investment using 6% sinking fund to recover depreciation, if the old engine could be sold now for P2000.

  • a. 12.19%
  • b. 14.29%
  • c. 10.47%
  • d. 15.92%

1270. A corporation uses a type of motor truck which costs P5000with a life of 2 years and final salvage value of P800. How much could the corporation afford to pay for another type of truck of the same purpose for a life of 3 years with a final salvage value of P1000? Money is worth 4%

  • a. P8450.66
  • b. P7164.37
  • c. P6398.24
  • d. P9034.56

1271. A granite quarry purchased of P1,600,000 is expected to be exhausted at the end of 4 years. If the resale value of the land is P100,000, what annual income is required to yield an investment rate of 12%? Use a sinking fund rate of 3%

  • a. P551,544
  • b. P552,550
  • c. P550,540
  • d. P553,420

1272. A machine has a first cost of P800,000 and a salvage value of P50,000 at the end of its life after 10 years. The annual saving for the use of the machine amount s to P124,900.97. If the annual maintenance of the machine is P4000 and the sinking fund to recover depreciation earns 6%, compute for the rate of return of investment.

  • a. 8%
  • b. 7%
  • c. 6%
  • d. 9%

1273. The first cost of a certain equipment is P324,000 and a salvage value of P50,000 at the end of its life of 4 years. If money is worth 6% compounded annually, find the capitalized cost.

  • a. P1,367,901.15
  • b. P1,427,846.17
  • c. P936,431.16
  • d. P843,916.27

1274. A multi million project can purchase heavy duty trucks for P600,000 each. It is estimated to have a salvage value of P60000 at the end of its life which is 10 years. Maintenance and operating cost including the driver is estimated to cost an average of P3000 per year. The contractor however can hire a similar truck and its operator for P420 per day. If money is worth 12%, how many days per year must the service of the truck be required to justify the buying of the trucks. Use annual cost method.

  • a. 243 days
  • b. 225 days
  • c. 252 days
  • d. 255 days

1275. Each removal from a ditch in city streets is accomplished by a machine loading into trucks. This machine will cost P20,000 with labor, fuel, oil, and maintenance amounting to P5000 per year. Life of the machine is estimated to be 5 years and no salvage value. The contractor however can hire a similar machine and its operator at P340 per day. How many days per year must the services of the machine be required to justify the purchase of their new machine of the money is worth 10%. Use annual cost method.

  • a. 428 days 
  • b. 248 days
  • c. 284 days
  • d. 482 days

1276. A contractor can purchase a heavy-duty truck for P500,000. Its estimated life is 8 years and estimated salvage value of P6000. Maintenance is estimated to be P2500 annually including the cost of driver and fuel maintenance. The contractor can hire a similar unit and driver for P750 a day. If interest is taken at 8%, how many days per year must be services of a dump truck be required to justify the purchase of a truck? Use annual cost method.

  • a. 112 days
  • b. 121days
  • c. 132 days
  • d. 211 days

1277. It cost P50,000 at the end of each year to maintain a section of Kennon road. If money is worth 10%, how much would it pay to spend immediately to reduce the annual cost to P10,000?

  • a. P410,000
  • b. P554,000
  • c. P400,000
  • d. P453,000

1278. If money is worth 12% compounded quarterly, what is the present value of the perpetuity of P1,000 payable monthly?

  • a. P453,876.80
  • b. P100,976.23
  • c. P342,993.70
  • d. P100,993.78

1279. Find the present value, in peso, of a perpetuity of P15,000 payable semi-annually if money is worth 8% compounded quarterly.

  • a. P372,537
  • b. P374,977
  • c. P373,767
  • d. P371,287

1280. A businessman invested in a medium scale business which cost him P47,000. The net annual return estimated is P14,000 for each of the next 8 years. Compute the benefit cost ratio if the annual rate of interest is 18%.

  • a. 1.21
  • b. 1.76
  • c. 2.23
  • d. 1.11

1281. A project costs P100,000. The benefit at the end of each year for a period of 5 years is equal to P40,000. Assuming money is worth 8% with no salvage value, compute the benefit cost ratio.

  • a. 1.125
  • b. 2.124
  • c. 1.875
  • d. 1.597

1282. Compute the benefit cost ratio of the following project:

Project cost = P80,000

Gross income = P25,000 per year

Opening Cost = P6,000 per year

Salvage Value = 0

Life of Project = 10 years

Rate of Interest = 12%

  • a. 1.34
  • b. 1.78
  • c. 2.23
  • d. 1.11

1283. A local factory assembling calculators produces 100 units per month and sells them at P1,800 each. Dividends are 8% on the 8000 shares with par value of P250 each. The fixed operating cost per month is P25,000. Other costs are P1,000 per unit. Determine the break even point. If only 200 units were produced per month, determine the profit.

  • a. 50 ; P112,656.67
  • b. 45 ; P122,676.88
  • c. 48 ; P121,666.67
  • d. 48 ; P212,666.67

1284. General Electric Company, which manufactures electric motor, has a capacity of producing 150 motors a month. The variable costs are P4,000 per month, the average selling price of the motor is P750 per motor. Fixed costs of the company amounts to P78,000 per month which includes all taxes. Determine the number of motors to be produced per month to break even and the sales volume in pesos at this point.

  • a. 105 units
  • b. 120 units
  • c. 110 units
  • d. 115 units

1285. A plywood manufacturer produces a piece of plywood at a labor cost of P0.50 and material at P3.00. The fixed charges on business are P50,000 a month and the variable cost is P0.50 per piece. If one plywood sells for P6.00 each, how many pieces must be produced each month for the manufacturer to break even?

  • a.  27,000
  • b. 25,000
  • c. 24,000
  • d. 22,000

1286. The profit on a product selling for P8.20 is 10% of the selling price. What percentage increase in production cost will reduce the profit by 60%?

  • a. 6.67%
  • b. 6.76%
  • c. 7.66%
  • d. 7.66%

1287. A local company assembling stereo radio cassette produces 300 units per month at a cost of P800 per unit. Each stereo radio cassette sells for P1,200. If the firm makes a profit of 10% on its 10,000 shares with a par value of P200 per share, and the total fixed cost is P20,000 per month. What is the break even point and how much is the loss or profit if only 100 units are produced in a given month?

  • a. 90 ; P3,444.33
  • b. 91 ; P4,333.44
  • c. 92 ; P3,333.33
  • d. 93 ; P4,444.33

1288. A certain operation is now performed by hand, the labor cost per unit is P0.54 and the annual fixed charge for tool used is estimated at P100 per year. A machine that is being considered for this job will cost P2,400, have a salvage value of P100 at any time and a fixed annual cost of P200. With it, labor cost is P0.22 per unit. For what number of units of product per year at zero interest and life of 6 years for the machine will the annual cost of the two methods break even?

  • a. 1510 units
  • b. 1050 units
  • c. 1150 units
  • d. 1551 units

1289. A shoe manufacturer produces a pair of shoes at a labor cost of P9.00 a pair and a material cost of P8.00 a pair. The fixed charges on the business is P90,000 a month and the variable cost is P4.00 a pair. If the shoes sells at P30 a pair, how many pairs must be produced each month for the manufacturer to break even?

  • a. 10,000
  • b. 12,000
  • c. 11,000
  • d. 13,000

1290. An item which can be sold for P36.00 per unit wholesale is being produced with the following cost data; labor cost, P10 per unit; material cost, P15.00 per unit; fixed charges, P10,000; variable cost, P8.00 per unit. What is the break even point sales volume and the break even sales volume if one out of every ten units produced is defective and is rejected with only full recovery on materials?

  • a. 322.33 ; 377
  • b. 345.33 ; 379
  • c. 353.33 ; 333
  • d. 333.33 ; 397

1291. A certain firm has the capacity to produce 650,000 units of product per year. At present, it is operating at 62% capacity. The firm’s annual income is P4,160,000. Annual fixed cost is P1,920,000 and the variable cost is equal to P3.56 per unit of product. What is the firm’s annual profit or loss and what volume of sales does the firm break even?

  • a. P805,320 ; P3,354,680
  • b. P850,330 ; P3,543,683
  • c. P803,550 ; P3,276,398
  • d. P800,286 ; P3,186,586

1292. The direct labor cost and material cost of a certain product are P300 and P400 per unit, respectively. Fixed charges are P100,000 per month and other variable costs are P100 per unit. If the product is sold at P1,200 per unit, how many units must be produced and sold to break even?

  • a. 200 units
  • b. 250 units 
  • c. 300 units
  • d. 260 units

1293. XYZ Corporation manufacturers book cases that it sells for P65.00 each. It costs XYZ P35,000 per year to operate its plant. This sum includes rent, depreciation charges on equipment and salary payments. If the cost to produce one bookcase is P50.00, how many cases must be sold each year for XYZ to avoid taking a loss?

  • a. 2334
  • b. 539
  • c. 750
  • d. 2233

1294. A telephone switchboard 100 pair cable can be made up with either enameled wire or tinned wire. There will be 400 soldered connections. The cost of soldering a connection on the enameled wire will be P1.65, on the tinned wire, it will be P1.15. A 100 pair cable made up with enameled wire cost P0.55 per lineal foot and those made up to tinned wire cost P0.76 per lineal foot. Determine the length of cable run in feet so that the cost of each installation would be the same.

  • a. 1121.06 ft
  • b. 1001.25 ft
  • c. 864.92 ft
  • d. 952.38 ft

1295. A company which manufactures electric motors has a production capacity of 200 motors a month. The variable costs are P150 per motor. The average selling price of the motor is P275. Fixed costs of the company amounts to P20,000 per month which included taxes. The number of motors that must be sold each month to break even is closest to:

  • a. 40
  • b. 150
  • c. 80
  • d. 160

1296. Steel drums manufacturer incurs a yearly fixed operating cost of P200,000. Each drum manufactured cost P160 to produce and sells for P200. What is the manufacturer’s break even sales volume in drum per year? If they could manufacture 7,000 drums per year, determine the amount of profit or loss.

  • a. 1250 ; P70,000
  • b. 2500 ; P60,000
  • c. 5,000 ; P80,000
  • d. 1,000 ; P75,000

1297. A new Civil Engineer produces a certain construction ,material at a labor cost of P16.20 per piece, material cost of P38.50per piece and variable cost of P7.40 per piece. The fixed charges on the business is P100,000 a month. If he sells the finished product at P95.00 each, how many pieces must be manufactured each month to break even?

  • a. 3040
  • b. 3400
  • c. 3004
  • d. 4300

1298. A manufacturer produces certain items at a labor cost per unit of P315, material cost per unit of P100, variable cost of P3.00 each. If the item has a selling price of P995, how many units must be sold to break even if the monthly overhead is P461,600?

  • a. 600 
  • b. 700
  • c. 800
  • d. 900

1299. A cement firm with production capacity of 130 tons per day (24 hrs) of clinker has its burning zone about 45 tons of magnesium chrome bricks being replaced periodically, depending on some operational factors and the life of the bricks. If locally produced bricks cost costing P30,000 per ton and have a life of 6 months, determine the more economical bricks and by how much?

  • a. P6,057,000
  • b. P6,750,000
  • c. P6,505,000
  • d. P6,075,000

1300. An equipment installation job in the completion stage can be completed in 40 days of 8 hour day work, with 40 men working. With the contract expiring in 30 days, the mechanical engineer contractor decided to add 10 men on the job, overtime not being permitted. If the liquidated damages is P2,000 per day of delay, and the men are paid P80 per day, how much money would he save if he will add workers?

  • a. P15,000
  • b. P15,500
  • c. P16,500
  • d. P16,000

Complete List of MCQs in General Engineering and Applied Science per topic


MCQs in Engineering Economics

This is the Multiples Choice Questions Part 25 of the Series in Engineering Economics as one of the General Engineering and Applied Sciences (GEAS) topic. In Preparation for the ECE Board Exam make sure to expose yourself and familiarize in each and every questions compiled here taken from various sources including past Board Questions in General Engineering and Applied Sciences (GEAS), Engineering Economy Books, Journals and other Engineering Economy References.

Online Questions and Answers in Engineering Economics Series

Following is the list of multiple choice questions in this brand new series:

Engineering Economics MCQs
PART 1: MCQs from Number 1 – 50                        Answer key: PART I
PART 2: MCQs from Number 51 – 100                   Answer key: PART II
PART 3: MCQs from Number 101 – 150                 Answer key: PART III
PART 4: MCQs from Number 151 – 200                 Answer key: PART IV
PART 5: MCQs from Number 201 – 250                 Answer key: PART V
PART 6: MCQs from Number 251 – 300                 Answer key: PART VI
PART 7: MCQs from Number 301 – 350                 Answer key: PART VII
PART 8: MCQs from Number 351 – 400                 Answer key: PART VIII
PART 9: MCQs from Number 401 – 450                 Answer key: PART IX
PART 25: MCQs from Number 1201 – 1250                 Answer key: PART XXV

Continue Practice Exam Test Questions Part XXV of the Series

Choose the letter of the best answer in each questions.

1201. A certain machine cost P40,000 and has a life of 4 years and a salvage value of P5000. The production output of this machine in units per year is first year 1800 units, second year2200 units, third year 3000, and fourth year 4000 units. If the units produced are of uniform quality, what is the depreciation charge at the end of 4th year?

  • a. P12,727.27
  • b. P15,350.23
  • c. P16,420.43
  • d. P17,200.98

1202. A lathe machine cost P300,000 with a salvage value of P15,000 is expected to last for 285000 hours in a period of 5 years. In the first year of service it was used for 8000 hours. Compute the book value of the machine at the end of the first year.

  • a. P292,000
  • b. 200,000
  • c. P250,000
  • d. P323,000

1203. A machine costing P280,000 has a useful life of 20,000 hrs. at the end of which its salvage value is P30,000. In the first year, it was used for 2080 hrs, in the second year, 3160 hrs. Find the second depreciation cost in pesos.

  • a. P23,520
  • b. P25,252
  • c. P39,500
  • d. P35,400

1204. An equipment costs P400,000 and has a life of 30,000 hrs at the end of which its salvage value is x pesos. In the first year, it was used for 6240 hrs. The book value at the end of the first year was P325,120. Find the value of x.

  • a. P40,629
  • b. P30,420
  • c. P40,000
  • d. P30,000

1205. An engineering firm from purchased, 12 years ago, a heavy planner for P50,000 with no salvage value. As the life of the planner was 20 years, a straight line depreciation reserve has been provided on that basis. Now the firm wishes to replace the old planner with a new one possessing several advantages. It can sell the old planner for P10,000. The new one will cost P100,000. How much new capital will be required to make the purchase?

  • a. P60,000
  • b. P55,000
  • c. P66,000
  • d. P57,000

1206. Ten years ago, a contractor was able to purchase a crane whose capacity is 2000 tons costing P125 per ton. The life was estimated to be 15 years with a salvage value of 10% of the cost. A market has been found for the old crane for P80,000. If the depreciation has been figured on a straight line basis what is the difference between the depreciation book value of the old crane and its sale value.

  • a. P10,000
  • b. P30,000
  • c. P15,000
  • d. P20,000

1207. What is the nominal value of interest compounded continuously for a period of 5 years of an equal payment series if the capital recovery factor is equal to 0.2385787.

  • a. 4% 
  • b. 5%
  • c. 6%
  • d. 8%

1208. What is the nominal rate of interest compounded continuously for a period of 5 years of an equal payment series if the sinking fund factor is equal 0.180519?

  • a. 4% 
  • b. 5%
  • c. 6%
  • d. 8%

1209. Compute the number of years so that the capital recovery factor of a uniform payment series be equal to 0.218638 if money is worth 3% compounded continuously.

  • a. 5
  • b. 4
  • c. 6
  • d. 3

1210. A manufacturing firm wishes to give each 80 employee a holiday bonus. How much is needed to invest monthly for a year at 12% nominal interest rate, compounded monthly, so that each employee will receive a P2000 bonus?

  • a. P12,608
  • b. P12,615
  • c. P12,600
  • d. P12,300

1211.) An instructor plans to retire in one year and want an account that will pay him P25000 a year for the next 15 years. Assuming 6% annual effective interest rate, what is the amount he would need to deposit now? (The fund will be depleted after 15 years)

  • a. P249,000
  • b. P242,806
  • c. P248,500
  • d. P250,400

1212. Ryan invest P5,000 at the end of each year in an account which gives a nominal annual interest of 7.5%, compounded continuously. Determine the total worth of his investment at the end of 15 years.

  • a. P133,545.58
  • b. P142,647.28
  • c. P126,336.42
  • d. P135,429.64

1213. A car dealer advertise the sale of a car model far a cash price of P280,000. If purchased in installment, the required down payment is 15% and balance payable in 18 equal monthly installments at an interest rate of 1.5% per month. How much will be the required monthly payments?

  • a. P15,185.78
  • b. P11,588.72
  • c. P10,972.33
  • d. P15,558.12

1214. How much must be deposited at 6% each year beginning Jan 1, year 1, in order to accumulate P5,000 on the date of the last deposit, Jan 1, year 6?

  • a. P751
  • b. P717
  • c. P715
  • d. P775

1215. In anticipation of a much bigger volume of business after 10 years, a fabrication company purchased an adjacent lot for its expansion program where it hopes to put up a building projected to cost P4,000,000 when it will be constructed 10 years after. To provide for the required capital expense, it plans to put up a sinking fund for the purpose. How much must the company deposit each year if the interest to be earned is computed at 15%

  • a. P197,008.25
  • b. P199,090.25
  • c. P177,009.25
  • d. P179,008.25

1216. Rainer Wandrew borrowed P50,000 from Social Security System, in the form of calamity loan, with interest at 8% quarterly installments for 10 years. Find the quarterly payments.

  • a. P1827.79
  • b. P1892.18
  • c. P1287.78
  • d. P1972.36

1217. For having been loyal, trustworthy, and efficient, the company has offered a superior yearly gratuity pay of P20,000 for 10 years with the first payment to be made one year after his retirement. The supervisor, instead, requested that he be paid a lump sum, on the date of his retirement, having less interest that the company would have earned if the gratuity is to be paid in yearly basis. If interest is 15%, what is the equivalent lump sum that he could get?

  • a. P100,375.37
  • b. P100,735.37
  • c. P101,757.37
  • d. P100,575.37

1218. If P500 is invested at the end of each year for 6 years, at an annual interest rate of 7%, what is the total peso amount available upon the deposit of the sixth payment?

  • a. P3,210
  • b. P3,577
  • c. P3,000
  • d. P4,260

1219. A series of year and payments extending over eight years are as follows: P10,000 for the first year, P20,000 for the second year, P50,000 for the third year, and P40,000 for each year from fourth year through the 8th year. Find the equivalent annual worth of these payments if the annual interest is 8%.

  • a. P44,800.00
  • b. P30,563.00
  • c. P35,650.00
  • d. P33,563.85

1220. In five years, P18,000 will be needed to pay for a building renovation,. In order to generate this sum, a sinking fund consisting of three annual payments is established now. For tax purposes, no further payments will be made after three years. What payments are necessary if money is worth 15% per annum?

  • a. P2870
  • b. P3919
  • c. P5100
  • d. P2670

1221. San Miguel Corporation purchases P400,00 worth of equipment in year 1970. It decided to use straight line depreciation over the expected 20 year life of the equipment. The interest rate is 16%. If the overall tax rate is 35% , what is the present worth of the tax shield?

  • a. P40,298.68
  • b. P41,501.89
  • c. P45,450.28
  • d. P51,410.37

1222. A local firm is establishing a sinking fund for the purpose of accumulating a sufficient capital to retire its outstanding bonds and maturity. The bonds are redeemable in 10 years, and their maturity value is P150,000. How much should be deposited each year if the fund pays interest at the rate of 3%?

  • a. P12,547.14
  • b. P13,084.58
  • c. P14,094.85
  • d. P16,848.87

1223. A machine costs P20,000 today and has an estimated scrap value of P2,000 after 8 years. Inflation is 2% per year. The effective annual interest rate earned on money invested is 8%. How much money needs to be set aside each year to replace the machine with an identical model 8 years from now?

  • a. P2,808.88
  • b. P3,290.00
  • c. P3,920.00
  • d. P3,610.00

1224. A machine is under consideration for investment. The cost of the machine is P25,000. Each year it operates, the machine generates P15,000. Given an effective annual interest rate of 18%, what is the discounted payback period, in years, on the investment of the machine?

  • a. 1.75 years
  • b. 3.17 years
  • c. 1.67 years
  • d. 2.16 years

1225. Company A purchases P200,000 of equipment in year zero. It decides to use straight line depreciation over the expected 20 year life of the equipment. The interest rate is 14%. If the average tax rate is 40%, what is the present worth of the depreciation tax held?

  • a. P30,500
  • b. P26,500
  • c. P39,700
  • d. P40,000

1226. Instead of paying P100,000 in annual rest for office space at the beginning of each year for the next 10 years, an engineering firm has decided to take out a 10 year P100,000 loan for a new building at 6% interest. The firm will invest P100,000 of the rent saved and earned 18% annual interest on that amount. What will be the difference between the revenue and expenses?

  • a. Firm will need P17,900 extra
  • b. Firm will break even
  • c. Firm will have P21,500 left over
  • d. Firm will need P13,000 extra

1227. A man inherited a regular endowment of P100,000 every end of 3 months for x years. However, he may choose to get a single lump of P3,702,939,80 at the end of 4 years. If the rate interest was 14% compounded quarterly, what is the value of x?

  • a. 13 years
  • b. 10 years
  • c. 12 years
  • d. 11 year

1228. A service car whose car price was P540,000 was bought with a down payment of P162,000 and monthly installments of P10,847.29 for 5 years. What was the rate of interest if compounded monthly?

  • a. 30%
  • b. 24%
  • c. 20%
  • d. 15%

1229. What is the present worth of a 3 year annuity paying P3000 at the end of each year, with interest at 8% compounded annually?

  • a. P7,731.29
  • b. P9,731.79
  • c. P7,371.29
  • d. P9,371.79

1230. A man paid a 10% down payment of P200,000 for a house and lot and agreed to pay the balance on monthly installments for 5 years at an interest rate of 15% compounded monthly. What was the monthly installment on pesos?

  • a. P44,528.34
  • b. P42,821.87
  • c. P43,625.92
  • d. P45,825.62

1231. A man inherited a regular endowment of P100,000 every end of 3 months for 10 years. However, he may choose to get a single lump sum payment at the end of 4 years. How much is this lump sum if the cost of money is 14% compounded quarterly?

  • a. P3,702,939.73
  • b. P3,802,862.23
  • c. P3,502,546.23
  • d. P3,602,431.73

1232. A man paid 10% down payment of P200,000 for a house and lot and agreed to pay the balance on monthly installments for x years at an interest rate of 15% compounded monthly. If the monthly installment was P42,821.87, find the value of x.

  • a. 5 years
  • b 9 years
  • c. 8years
  • d. 7 years

1233. A father wishes to provide P4000 for his son on his 21st birthday. How much should he deposit every 6 months in a savings bank which pays 3% compounded semi-annually if the first deposit is made when the son is 3.5 years old?

  • a. P45.76
  • b. P94.24 
  • c. P84.61
  • d. P78.68

1234. An employee obtained a loan of P100,000 at the rate of 6% compounded in order to build a house. How much must he pay monthly to amortize the loan within a period of 10 years?

  • a. P8,322.07
  • b. P1,101.80
  • c. P2,494.04
  • d. P3,452.90

1235. If money is worth 5% compounded semi-annually, find the present value of a sequence of 12 semi-annual payments of P500 each, the first of which is due at the end of 4.5 years.

  • a. P4,209.51
  • b. P5,602.62
  • c. P6,240.62
  • d. P7,161.42

1236. An annual deposit of P1270 is placed on the fund at the end of each year for 6 years. If the fund invested has a rate of interest of 5% compounded annually, how much is the worth of this fund at the end of 9 years?

  • a. P12,000
  • b. P10,000
  • c. P11,000
  • d. P14,000

1237. A fund for replacement of a machinery in a plant must have P30,000 at the end of 9 years. An equal deposit of P2,965 was made on the fund at the end of each 6 months for 4 years only. How much is the rate of the fund invested if it is compounded semi-annually?

  • a. 3.5%
  • b. 4.5%
  • c. 5.5%
  • d. P6.5%

1238. In purchasing a house, a man makes a cash payment and takes out a mortgage for P10,000 on which he agrees to pay P200 at the end of each month for 5 years. At what interest rate compounded monthly was interest charged on the mortgage?

  • a. 8.41%
  • b. 7.42%
  • c. 7.68%
  • d. 9.60%

1239. How much money must you invest in order to withdraw P2000 annually for 10 years if the interest rate is 9%?

  • a. P12,853.32
  • b. P12,881.37
  • c. P12,835.32
  • d. P12,385.32

1240. If interest is at rate of 8% compounded semi-annually, what sum must be invested at the end of each 6 months to accumulate a fund of P10,000 at the end of 8 years?

  • a. P458.20
  • b. P532.11
  • c. P498.23
  • d. P753.10

1241. A Corporation will invest P5000 in a fund at the end of each 6 months to accumulate P100,000 to initiate a plant overhaul. If the fund is invested at 6.5% compounded semi-annually, how may years will the fund contain at least P100,000?

  • a. 8 years
  • b. 6 years
  • c. 10 years
  • d. 9 years

1242. A piece of machinery can be bought for P10,000 cash, or for P2000 down and payments of P750 per year for 15 years. What is the annual interest rate for time payments?

  • a. 4.61%
  • b. 3.81%
  • c. 5.71%
  • d. 11.00%

1243. To accumulate a fund of P8000 at end of 10 years, a man will make equal annual deposit of P606.94 in the fund at the end of each year. How much is the rate of interest if it is compounded annually?

  • a. 6%
  • b. 8%
  • c. 10%
  • d. 12%

1244. A purchasing engineer of a certain firm is to purchase a second hand truck fro P75,000. A dealer offers cash payment of P5,000 and P6486 per month for 12 months. Another dealer offered under the same condition with 0.75% interest per month for 12 months of the unpaid balance. Which offer should the engineer choose and what is the rate of interest?

  • a. 0.62%
  • b. 1.66%
  • c. 0.75%
  • d. 0.40%

1245. If a low cost house and lot worth P87,000 were offered at 10% down payment and P500 per month for 25 years. What is the effective monthly interest rate on the diminished balance?

  • a. 0.492%
  • b. 0.687%
  • c. 0.531%
  • d. 0.683%

1246. A house and lot can be acquired with a down payment of P500,000 and a yearly payment P100,000 at the end of each year for a period of 10 years, starting at the end of 5 years from the date of purchase. If the money is worth 14% compounded semi-annually, what is the cash price of the property?

  • a. P810,000
  • b. P808,836
  • c. P801,900
  • d. P805,902

1247. A man bought a brand new car for P650,000 on installment basis at the rate of 10% per annum on the unpaid balance. If he paid a down payment of P120,000 cash and proposed to pay the balance in equal monthly payment for 2 years, what should be his monthly payment?

  • a. P54,323.03
  • b. P34,532.94
  • c. P24,447.03
  • d. P83,534.32

1248. A businessman is faced with the prospect of fluctuating future budget for the maintenance of the generator. During the first 5 years, P1,000 per year will be budgeted. During the second 5 years, the annual budget will be P1500 per year. In addition, P3500 will be budgeted for an overhaul of the machine at the end of the fourth year and another P3500 for an overhaul at the end of 8th year. Assuming compounded interest at 6% per annum, what is the equivalent annual cost of maintenance?

  • a. P1,888.87
  • b. P1,738.34
  • c. P1,777.38
  • d. P1,999.34

1249. A parent on the day the child is born wishes to have to determine what lump sum would have to be paid into an account bearing interest at 5% compounded annually, in order to withdraw P20,000 each on the child’s 18th, 19th, 20th, and 21st birthdays.

  • a. P35,941.73
  • b. P33,941.73
  • c. P30,941.73
  • d. P25,941.73

1250. If money is worth 5% compounded semi-annually, find the present value of a sequence of 12 semi-annual payments of P500 each, the first of which is due at the end of 4.5 years.

  • a. P4,209.51
  • b. P5,038.29
  • c. P3,958.48
  • d. P4,936.39

Complete List of MCQs in General Engineering and Applied Science per topic


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