McqMate
Chapters
| 101. |
Which one of the following questions is relevant to the construction estimates? |
| A. | Did the estimators precisely evaluate site conditions |
| B. | Did the estimators use short cut methods which may be unrealistic in their situation |
| C. | How much money will the contractor's risk, loosing if he were to submit bid on the raw estimate of cost |
| D. | All of these |
| Answer» D. All of these | |
| 102. |
Both architect and engineer make use of the cost estimate of the project: |
| A. | For site selection |
| B. | For designing of the project |
| C. | For choosing alternatives |
| D. | All of these |
| Answer» D. All of these | |
| 103. |
Pick up the ratio which gives us sufficient information by which to judge the financial condition and performance of the firm, from the following: |
| A. | Liquidity ratio |
| B. | Financial leverage ratio |
| C. | Activity ratio |
| D. | None of these |
| Answer» D. None of these | |
| 104. |
The interest calculated on the basis of 365 days a year, is known as: |
| A. | Interest |
| B. | Ordinary simple interest |
| C. | Exact simple interest |
| D. | None of these |
| Answer» C. Exact simple interest | |
| 105. |
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 |
| Answer» D. All of these | |
| 106. |
If a seller recovers his capital along with accumulated compensating interest not in one single lump-sum payment but in periodical equal payments, over time: |
| A. | Capital Recovery Annuity fs availed |
| B. | Present work Annuity is availed |
| C. | Sinking Fund Annuity is availed |
| D. | Sinking Fund Annuity is availed |
| Answer» A. Capital Recovery Annuity fs availed | |
| 107. |
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 |
| Answer» D. All the above | |
| 108. |
The sunk costs include: |
| A. | A past expenditure |
| B. | An unrecovered balance |
| C. | An invested capital that cannot be retrieved |
| D. | All of these |
| Answer» D. All of these | |
| 109. |
Pick up the element of the cost from the following: |
| A. | Direct material |
| B. | Direct labour |
| C. | Over head |
| D. | All of these |
| Answer» D. All of these | |
| 110. |
The ratio obtained by dividing 'quick assets' by current liabilities is called |
| A. | Turnover ratio |
| B. | Acid test ratio |
| C. | Solvency ratio |
| D. | None of these |
| Answer» B. Acid test ratio | |
| 111. |
The construction estimate of a project is used by: |
| A. | The owner of the facility |
| B. | The consulting architect/engineer |
| C. | The contractor of the project |
| D. | All of these |
| Answer» D. All of these | |
| 112. |
Pick up the correct statement from the following: |
| A. | The ratios which show profitability in relation to sales and those which show profitability in relation to investment are called profitability ratios |
| B. | The ratio of gross profit and net sales is called profitability in relation to sales ratio |
| C. | The ratio of net profit after taxes to total assets is known as profitability in relation to investment ratio |
| D. | All of these |
| Answer» D. All of these | |
| 113. |
The product of CAF (S P) and PWF (S P) is: |
| A. | 1/2 |
| B. | 1 |
| C. | 1/3 |
| D. | ¼ |
| Answer» B. 1 | |
| 114. |
Which one of the following is not a construction estimate? |
| A. | Initial feasibility estimate |
| B. | Conceptual preliminary budget |
| C. | Definite estimate |
| D. | None of these |
| Answer» D. None of these | |
| 115. |
If ‘P’ is principal amount, ‘I’ is the rate of interest per annum and ‘n’ is the number of periods in years, the compound amount factor (CAF) is: |
| A. | (1 + i)n |
| B. | (1 + i)(1/2n) |
| C. | v(n + i) |
| D. | None of these |
| Answer» A. (1 + i)n | |
| 116. |
If ‘P’ is principal amount, ‘i’ is the rate of interest and ‘n’ is the number of periods in years, then the interest factor is: |
| A. | (1 + ni) |
| B. | (ni - 1) |
| C. | ni |
| D. | None of these |
| Answer» A. (1 + ni) | |
| 117. |
Pick up the main purpose of project cost control from the following: |
| A. | To signal immediate warning of uneconomic operations |
| B. | To provide a feed back to the estimator |
| C. | To promote cost consciousness |
| D. | All of these |
| Answer» D. All of these | |
| 118. |
Pick up the correct statement from the following: |
| A. | A NPV profile graph shows the curvilinear relationship between the net present value of the project and discount rate employed |
| B. | In a NPV profile, if discount rate is zero, then net present value is simply total cash inflows less the total cash outflows of the project |
| C. | As the discount rate increases, the net present value profile slopes downward to the right |
| D. | All of these |
| Answer» D. All of these | |
| 119. |
If ‘a’ is the base amount expenditure, ‘b’ is the increase in the operation cost each year over a period of’ 'n’ years, the total cost of maintenance is: |
| A. | a + (n + 1) b |
| B. | a + (n - 1) b |
| C. | a × (n - 1) b |
| D. | a - (n - 1) b |
| Answer» B. a + (n - 1) b | |
| 120. |
Which one of the following is included in financial ratios of the firm? |
| A. | Profitability ratio |
| B. | Liquidity ratio |
| C. | Turnover ratio |
| D. | All of these |
| Answer» D. All of these | |
| 121. |
Pick up the correct statement from the following: |
| A. | The ability of a company to meet obligations which are likely to mature in short term, is called liquidity |
| B. | The liquidity ratio may be defined as a relationship of current liabilities and current assets and advances |
| C. | The liquidity ratios are used to indicate the financial position of the firm |
| D. | All of these |
| Answer» D. All of these | |
| 122. |
Pick up the correct statement from the following: |
| A. | The receipts and disbursements in a given time interval are referred to as cash flow |
| B. | The assumptions that all cash flows occur at the end of the interest period, is known as the end of period convention |
| C. | The cash flow diagram represents the statement of the problem and also includes what is given and what is to be found |
| D. | All of the above |
| Answer» D. All of the above | |
| 123. |
Pick up the correct statement from the following: |
| A. | Engineering economy is a collection of mathematical techniques which simplify economic comparisons |
| B. | Engineering economy is a decision assistance tool by which one method will be chosen as the most economically one |
| C. | For understanding the engineering economy, one should be able to classify the basic terminology and fundamental concepts of economy |
| D. | All of these |
| Answer» D. All of these | |
| 124. |
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 |
| Answer» D. All of these | |
| 125. |
Which one of the following statements is correct? |
| A. | The number of years required to recover the initial cash investment in a project, is called Pay Back period (PBP) |
| B. | The discount rate that equates the present value of the expected Net Cash Flows (CFs) with the Initial Cash Outflow (ICO) is known as internal rate of return |
| C. | The present value of the proposal's net cash flows, less the proposal's initial cash outflow is known as the Net Present Value (NPV) |
| D. | All of these |
| Answer» D. All of these | |
| 126. |
The wages of supervisors and material handlers are charged as: |
| A. | Over head |
| B. | Direct labour cost |
| C. | Indirect labour cost |
| D. | None of these |
| Answer» A. Over head | |
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