ENGINEERING ECONOMICS
questions fully solved &
updated(passed)
Rate of Return (ROR) - answer interest rate earned by an
investment
Minimum Attractive Rate of Return (MARR) - answer smallest rate of
return that an investor will accept
Interest - answer periodic compensation for the lending of money;
the cost for the use of capital; sometimes referred to as the "time
value of money"
Simple Interest - answer interest that is not compounded
Compound interest - answer the type of interest that is periodically
added to the amount of the investment (or loan) so the subsequent
interest is based on the cumulative amount
Present Value or Present Worth - answer the equivalent value at
present, based on "time value of money" or the discounted value of
future sums
Future Value or Future Worth - answer the equivalent value at a
designated future date based on the "time value of money"
Coupon Rate for a Bond - answer The percent interest that is paid
on the face amount each year until the bond reaches maturity
questions fully solved &
updated(passed)
Rate of Return (ROR) - answer interest rate earned by an
investment
Minimum Attractive Rate of Return (MARR) - answer smallest rate of
return that an investor will accept
Interest - answer periodic compensation for the lending of money;
the cost for the use of capital; sometimes referred to as the "time
value of money"
Simple Interest - answer interest that is not compounded
Compound interest - answer the type of interest that is periodically
added to the amount of the investment (or loan) so the subsequent
interest is based on the cumulative amount
Present Value or Present Worth - answer the equivalent value at
present, based on "time value of money" or the discounted value of
future sums
Future Value or Future Worth - answer the equivalent value at a
designated future date based on the "time value of money"
Coupon Rate for a Bond - answer The percent interest that is paid
on the face amount each year until the bond reaches maturity
