Construction Management (2180611) MCQs

MCQs of Construction economics

Showing 1 to 10 out of 15 Questions
1.
In which situations does the economic decision making is required?
(a) Comparison of Design
(b) Design for Economy in production
(c) Economy and size
(d) All of the above
Answer:

Option (d)

2.
Which of these is not a method of economic decision making?
(a) Total cost method
(b) Our-of-pocket commitment
(c) Payback period
(d) Average annual rate of return
Answer:

Option (a)

3.
What would be the payback period of excavator generating annual return of Rs. 70000 and initial cost Rs. 350000 and service life 7 years?
(a) 2 Years
(b) 3 Years
(c) 4 Years
(d) 5 Years
Answer:

Option (d)

4.
Out-of-pocket commitment of Option A is Rs. 1000000 and Option B is 1050000. Which option is beneficial?
(a) Option A
(b) Option B
(c) Both A & B
(d) None of the above
Answer:

Option (a)

5.
Average annual rate of return of equipment X and equipment Y is 12% and 14% respectively. Which equipment will be more profitable to purchase?
(a) Equipment X
(b) Equipment Y
(c) Both X and Y
(d) Renting of X
Answer:

Option (b)

6.
What will be the future value of Rs. 100 after 3 years at interest rate 10%?
(a) 103.30
(b) 130.10
(c) 133.10
(d) 110.30
Answer:

Option (c)

7.
Hiren wants to purchase bike worth Rs. 150000 after 5 years, How much should he invest now if the interest rate is 10% to get this amount?
(a) 85210
(b) 90520
(c) 83150
(d) 93170
Answer:

Option (d)

8.
Which details are required to draw project cash flow diagram?
(a) Gross bill value
(b) Measurement period
(c) Retention money
(d) All of the above
Answer:

Option (d)

9.
Which factor does not affect project cash flow diagram?
(a) Margin
(b) Material Quality
(c) Certification Period
(d) Mobilization Advance
Answer:

Option (b)

10.
Which of these is not a method of evaluation of alternative by equivalence?
(a) Present worth comparison
(b) Future worth comparison
(c) Minimum worth comparison
(d) Rate of return method
Answer:

Option (c)

Showing 1 to 10 out of 15 Questions