Engineering Economy MCQs

Welcome to our comprehensive collection of Multiple Choice Questions (MCQs) on Engineering Economy, a fundamental topic in the field of Civil Engineering. Whether you're preparing for competitive exams, honing your problem-solving skills, or simply looking to enhance your abilities in this field, our Engineering Economy MCQs are designed to help you grasp the core concepts and excel in solving problems.

In this section, you'll find a wide range of Engineering Economy mcq questions that explore various aspects of Engineering Economy problems. Each MCQ is crafted to challenge your understanding of Engineering Economy principles, enabling you to refine your problem-solving techniques. Whether you're a student aiming to ace Civil Engineering tests, a job seeker preparing for interviews, or someone simply interested in sharpening their skills, our Engineering Economy MCQs are your pathway to success in mastering this essential Civil Engineering topic.

Note: Each of the following question comes with multiple answer choices. Select the most appropriate option and test your understanding of Engineering Economy. You can click on an option to test your knowledge before viewing the solution for a MCQ. Happy learning!

So, are you ready to put your Engineering Economy knowledge to the test? Let's get started with our carefully curated MCQs!

Engineering Economy MCQs | Page 5 of 8

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Q41.
Ratio analysis of a construction firm is used for analysis by :

a.

share holders

b.

firm's management

c.

Banks of the firm

d.

financial analysts

Discuss
Answer: (d).financial analysts
Q42.
Probabilistic estimating of a construction project includes:

a.

Labour

b.

Productivity

c.

wage scale

d.

All of these

Discuss
Answer: (d).All of these
Q43.
A construction estimate is used

a.

to judge tentatively or approximate value of the project

b.

to produce a statement of the approximate cost

c.

to decide an approximation of the value of the project and not the exact cost.

d.

None of these

Discuss
Answer: (c).to decide an approximation of the value of the project and not the exact cost.
Q44.
Each financial ratio is generally compared by

a.

a past ratio calculated from the past financial standard of the firm.

b.

a ratio developed by using the projected financial statement of the firm.

c.

a ratio of some selected firms most progressive and successful at the point of consideration.

d.

All of these

Discuss
Answer: (d).All of these
Q45.
The key to profitable operation for project cost control, is :

a.

To keep the project cost equal to original cost estimate.

b.

To keep the project cost equal to subsequent construction budget.

c.

To keep the project cost within the cost budget and knowing when and where job costs are deviating.

d.

None of these

Discuss
Answer: (c).To keep the project cost within the cost budget and knowing when and where job costs are deviating.
Q46.
The annuity which refers to a debt payment for recovering the initial amount or capital in equal periodical payments, is known as;

a.

Present Worth Annuity

b.

Sinking fund annuity

c.

Compound annuity

d.

Capital recovery annuity

Discuss
Answer: (d).Capital recovery annuity
Q47.
The product of CAF (S P) and PWF (S P) is:

a.

1/2

b.

1

c.

1/3

d.

1/4

Discuss
Answer: (b).1
Q48.
Pick up the correct reason for making conceptual (or preliminary) estimate from the following:

a.

To have a check on a definitive cost estimate.

b.

To check qoutations from contractors and/or sub contractors.

c.

To compute target estimate for the owner while drawings and specifications are in initial stage.

d.

All of these.

Discuss
Answer: (d).All of these.
Q49.
The ratio of current assests to current liabilities is known as

a.

Liquidity ratio

b.

Current ratio

c.

Acid-Test (or Quick) ratio

d.

Debts ratio

Discuss
Answer: (b).Current ratio
Q50.
Pick up the correct statement from the following:

a.

An annuity is a series of equal payments occurring at equal period of time.

b.

Annuity is called an equal payment or uniform payment series.

c.

An annuity may have periods of time of any length but should always be of equal length.

d.

All the above.

Discuss
Answer: (d).All the above.
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