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.Management Sciences
Category: 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
The amount of compounded interest during ‘n’ interest periods is_________________?
A. p[(1+i)n – 1)]
B. p(1 + i)n
C. p(1 – i)n
D. p(1 + in)
_____________ method for profitability evaluation of a project does not account for investment cost due to land ?
A. Net present worth
B. Pay out period
C. Discounted cash flow
D. Rate of return on investment
With increase in the discounted cash flow rate of return, the ratio of the total present value to the initial investment of a given project ?
A. Decreases
B. Increases
C. Increases linearly
D. Remain constant
Nominal and effective interest rates are equal, when the interest is compounded______________?
A. Quarterly
B. Semi-annually
C. Annually
D. In no case, they are equal
Gross earning is equal to the total income minus___________________?
A. Total product cost
B. Fixed cost
C. Income tax
D. None of these
An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from the time of initial payment to the end of annuity term. Ordinary annuity is used in the calculation of the__________________?
A. Manufacturing cost
B. Depreciation by sinking fund method
C. Discrete compound interest
D. Cash ratio
Personnel working in the market research group is responsible for the job of__________________?
A. Equipment selection
B. Product evaluation
C. Equipment design
D. Cost estimation
Scheduling provides information about the_________________?
A. Proper utilisation of machines
B. Means to minimise idle time for machines
C. Time of completion of job
D. Time of starting of job and also about how much work should be completed during a
particular period
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