Day Two 2 Flashcards by Gregorio Mahinay III

______________ is a structured representation of the financial performance and financial position of a business and changes over a period of time.
a) Profit and loss account
b) Financial statement
c) Balance sheet
d) Internal audit

b) Financial statement

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It is the present worth of future earnings minus the present discounted expenditures necessary to bring the mine into production.
a) Purchase price
b) Present value
c) Future value
d) Mine value

a) Purchase price

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Which financial metric is used to measure the profitability of a mining project?
a) Gross Domestic Product (GDP)
b) Internal Rate of Return (IRR)
c) Consumer Price Index (CPI)
d) Balance of Trade (BOT)

b) Internal Rate of Return (IRR)

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Which is not a direct cost?
a) Supplies
b) Labor
c) Maintenance
d) Supervision

c) Maintenance

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Under PMRC 2020, it is any substance, extracted for value, occurring naturally in or on the Earth, in or under water or in tailings, residues or stockpiles, having been formed by or subjected to a geological process but excludes water, oil and gas.
a) Ore
b) Mineral
c) Rock
d) Alloy

b) Mineral

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Which term refers to the reduction in the value of a mining asset over time due to wear and tear, usage, or obsolescence?
a) CAPEX
b) Depreciation
c) OPEX
d) Amortization

b) Depreciation

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This _____________ explains the financial performance of the reporting entity for the accounting period.
a) Statement of Financial Position
b) Statement of Profit and Loss and Other Comprehensive Income
c) Statement of Cash Flows
d) Notes & schedules

b) Statement of Profit and Loss and Other Comprehensive Income

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In 2022, what was our country’s silver production in kgs?
a) 56,227
b) 50,207
c) 55,207
d) 50,227

a) 56,227

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Which is not a primary source of long-term debt financing?
a) Accounts payable
b) Notes payable
c) Leases
d) Mortgage

a) Accounts payable

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In mine economics, which term refers to the ongoing costs for running a mining operation, including expenses such as wages, utilities, and maintenance?
a) CAPEX
b) Depreciation
c) OPEX
d) Amortization

c) OPEX

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Aside from the description of the location and country profile of the project, a Mineral Resource must be presented by:
a) A general topo-cadastral map
b) Topo-cadastral map in sufficient detail to support the assessment of eventual economics
c) Detailed topo-cadastral map, with applicable aerial surveys checked with ground controls and surveys, particularly in areas of rugged terrain, dense vegetation or high altitude
d) A general topo-cadastral map is not yet required

b) Topo-cadastral map in sufficient detail to support the assessment of eventual economics

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Which convention, adopted in 1989, aims to control the transboundary movements of hazardous wastes and their disposal?
a) Basel Convention
b) Ramsar Convention on Wetlands
c) World Heritage Convention
d) Brundtland Report

a) Basel Convention

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This is used to analyze the pattern of movement or activity during the period to identify the way the enterprise has generated cash and the way they have been used in an accounting period.
a) Statement of Financial Position
b) Profit & Loss
c) Notes to Financial statement
d) Cash flow

d) Cash flow

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Unnecessary rehandling of materials may occur under these circumstances, except:
a) When stockpiles are placed too close to the active pit
b) Stacking spoils too high
c) Highwalling and highwall failure are imminent.
d) Classification of ore materials is accurate

d) Classification of ore materials is accurate

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Under PMRC 2020, these are reports prepared for the purpose of informing investors or potential investors and their advisers on Exploration Results, Mineral Resources, or Mineral Reserves. These include but are not limited to annual and quarterly company reports, media releases, information memoranda, technical papers, website postings, public presentations, and corporate disclosures required to be submitted to both the SEC and PSE, including disclosures of any material fact or event that occurs which would reasonably be expected to affect investors’ or potential investors’ decisions in relation to the company’s securities.
a) Exploration Target
b) Technical Report
c) Mineral Reserve
d) Public Reports

d) Public Reports

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Which term refers to the funds used by a company to acquire, upgrade, and maintain physical assets such as property, industrial buildings, or equipment?
a) CAPEX
b) Depreciation
c) OPEX
d) Amortization

a) CAPEX

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A financial or other benefit that is given but is later taken back under defined circumstances.
a) Drawback
b) Clawback
c) Discount
d) Penalty

b) Clawback

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What does NPV stand for in mine economics?
a) Net Present Value
b) Net Profit Value
c) New Production Value
d) Non-Productive Value

a) Net Present Value

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Who was the top primary gold producer in the Philippines in 2022?
a) Mindanao Mineral Processing and Refining Corporation
b) Phil. Gold Processing & Refining Corp.
c) OceanaGold (Phils) Inc.
d) APEX Mining Company Inc.

b) Phil. Gold Processing & Refining Corp.

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Disclosures and schedules are used to present supplementary information explaining different items of financial statements.
a) Statement of Financial Position
b) Cash flow
c) Profit & Loss
d) Notes to Financial statement

d) Notes to Financial statement

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Which software is commonly used for mine planning and design?
a) AutoCAD
b) Microsoft Excel
c) Surpac
d) Adobe Illustrator

c) Surpac

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Which of the following is classified as part of equity?
a) Notes Payable
b) Accounts Receivable
c) Retained Earnings
d) Prepaid Expenses

c) Retained Earnings

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What is the shortcut to open File Explorer in Windows?
a) Windows + F
b) Windows + E
c) Windows + X
d) Windows + I

b) Windows + E

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Under the Straight-Line Depreciation Method, the annual depreciation expense is calculated by:
a) Subtracting the residual value from the cost of the asset and dividing by the number of units the asset is expected to produce
b) Subtracting the residual value from the cost of the asset and dividing by the number of years of the asset’s useful life
c) Applying a fixed percentage to the book value of the asset each year
d) Multiplying the cost of the asset by a depreciation rate that decreases each year

b) Subtracting the residual value from the cost of the asset and dividing by the number of years of the asset’s useful life

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Which of the following best describes “financial position”? a) The income, expenses, and net income or loss for a period. b) The assets, liabilities, and equity at a particular moment in time. c) The financial assets minus financial liabilities. d) The total assets of an entity.

b) The assets, liabilities, and equity at a particular moment in time.

The specific gravity of an ore is an expression of the ratio of the density of that ore to the: a) Density of water b) Density of the primary metal in the ore c) Grade of ore d) Moisture content

a) Density of water

TIFF, which stands for _____________, is a computer file used to store raster graphics and image information. a) Tag Image File Format b) Tag Image Format File c) Text Image File Form d) Text Image File Format

a) Tag Image File Format

Which of the following is NOT typically considered an asset? a) Cash b) Equipment c) Accounts Receivable d) Unearned Income

d) Unearned Income

An entity shall present… a) The statement of cash flows more prominently than the other statements. b) The statement of financial position more prominently than the other statements. c) The statement of comprehensive income more prominently than the other statements. d) Each financial statement with equal prominence.

d) Each financial statement with equal prominence.

Refers to a shipping arrangement in which the seller or shipper retains ownership and responsibility for the product only until they are loaded on board a shipping vessel. Once they are on the ship, the obligation transfers to the buyer. a) Free on Board b) Cost and Freight c) Cost, Insurance and Freight d) Cost and Insurance

a) Free on Board

Items of dissimilar nature or function… a) Must always be presented separately in financial statements b) Must not be presented separately in financial statements c) Must be presented separately in financial statements if material d) Must be presented separately in financial statements even if immaterial

c) Must be presented separately in financial statements if material

A file format that can contain multiple files combined and compressed into one file. a) PDF b) ZIP c) CSV d) TXT

b) ZIP

Which of the following is not a messaging app? a) WhatsApp b) Telegram c) Signal d) Pinterest

d) Pinterest

Which metric is used to estimate the profitability of potential investments by calculating the discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero? a) Internal Rate of Return b) Net Present Value c) Accounting Rate of Return d) Payback Period

a) Internal Rate of Return

This means that the presentation and classification of items shall be retained from one period to the next. a) Consistency of presentation b) Materiality c) Aggregation d) Comparability

a) Consistency of presentation

The PMRC was first published on ___________. a) June 01, 2017 b) July 01, 2007 c) September 20, 2021 d) June 20, 2017

b) July 01, 2007

Refers to the idea that in any system, the quality of output is determined by the quality of the input. a) FIFO b) GIGO c) Monte Carlo Simulation d) Pareto Principle

b) GIGO

It is the company’s ability to convert its assets to cash in order to pay its liabilities when they are due. a) Liability b) Liquidity c) Equity d) Solvency

b) Liquidity

Which software is used for geological modeling in mining? a) Microsoft Word b) Leapfrog c) Adobe Photoshop d) VLC Media Player

b) Leapfrog

The observation that, although there are often many causes for any observed phenomenon, it is often the case that a small subset of those causes are responsible for most of the observation. a) Monte Carlo Simulation b) Pareto Principle c) Sustainability d) Golden Rule

b) Pareto Principle

The price paid for an option in the market. a) Strike price b) Option c) Premium d) Trade

c) Premium

In 2022, what was our country’s production of direct shipping nickel ore in DMT? a) 23.4 M b) 26.4 M c) 29.4 M d) 20.4 M

c) 29.4 M

An area covered by a tenurial instrument granted to a contractor/permittee by the Philippine government or entered into between the Philippine government, through the DENR, DOE or Office of the President, the latter in the case of an FTAA, and the contractor with distinct location, area, and technical description for the purpose of Mineral Exploration and/or Mining Operations. a) Mineral Reserve b) Mineral Property c) Mineral Deposit d) Measured Mineral Resource

b) Mineral Property

An entity shall classify an asset as current under all of the following conditions, except: a) The entity expects to realize, or intends to sell or consume it within the normal operating cycle. b) The entity holds the asset primarily for the purpose of trading. c) The entity expects to realize the asset within twelve months after the reporting period. d) The asset is cash or cash equivalent restricted to settle a liability for more than twelve months after the reporting period.

d) The asset is cash or cash equivalent restricted to settle a liability for more than twelve months after the reporting period.

Which financial statement would you review to understand the detailed cash movements of a company? a) Statement of Financial Position b) Statement of Changes in Equity c) Statement of Cash Flows d) Statement of Profit and Loss and Other Comprehensive Income

c) Statement of Cash Flows

It refers to the probability of certainty, i.e., the most common _____________ are 95% and 99% which means that there is only 5% and 1%, respectively, room for error that the mean will not lie within the confidence interval. a) Fiducial Interval b) Degree of certainty c) Degree of Confidence d) Confidence Interval

c) Degree of Confidence

Liabilities represent: a) The resources a company controls that are expected to provide future economic benefits b) The claims of third parties on the company's assets c) The owners’ residual interest in the assets after deducting liabilities d) The company's revenues and gains

b) The claims of third parties on the company's assets

A series of at-the-money (ATM) options, either puts or calls, where each successive option becomes active when the previous one expires. a) White Paper b) Cliquet c) Strike d) Naked Call

b) Cliquet

Which of the following is NOT typically included in the Statement of Profit and Loss and Other Comprehensive Income? a) Revenue from sales b) Expenses related to cost of goods sold c) Detailed breakdown of cash flows d) Gains and losses from investments

c) Detailed breakdown of cash flows

As defined in the PMRC 2020, it is a statement or estimate of the exploration potential of a mineral deposit in a defined geological setting where the statement or estimate, quoted as a range of tonnage and as a range of grade (or quality) relates to mineralization for which there has been insufficient exploration to estimate a Mineral Resource. a) Exploration Target b) ISO c) Metal Equivalents d) Exploration Permit

a) Exploration Target

Calculate the % Copper-equivalent of a deposit with 0.38% Cu and 0.7 g/t Au, assuming metal prices of USD 3.0 per lb for copper and USD 1,300 per oz gold. a) 0.92 % Cu b) 0.44% Cu c) 0.82% Cu d) 0.43% Cu

c) 0.82% Cu

It measures the relative variations or deviation of values from the mean. This is also known as the coefficient of uniformity. a) Sampling error b) Variation c) Mode d) Coefficient of variation

d) Coefficient of variation

A concept of artificial intelligence wherein computer programs can automatically learn from and adapt to new data without human assistance. a) NLP b) ML c) IoT d) ChatGPT

b) ML

Used by companies to report polymetallic contents of Mineral Deposits and converted in terms of a single equivalent grade of a major metal in the Mineral Deposit showing details of all material factors contributing to the net value derived from each constituent metal. a) Exploration Target b) ISO c) Metal Equivalents d) Exploration Permit

c) Metal Equivalents

It refers to the error committed in the determination of the sample mean, relative to the true value of the ore body. a) Sampling error b) Relative error of the mean c) Sample salting d) None of the above

b) Relative error of the mean

The equation that represents the relationship between assets, liabilities, and equity is: a) Assets = Liabilities + Equity b) Assets = Liabilities - Equity c) Assets = Equity - Liabilities d) Assets = Liabilities × Equity

a) Assets = Liabilities + Equity

An indicator used in measuring profitability of a mining project which involves the calculation of the interest rates when used in discounting the stress of future cash flows, making the discounted cash flows equal to the present value of the total project cost. a) Accounting rate of return b) Net Present Value c) Discounted payback period d) Discounted cash flow rate

d) Discounted cash flow rate

If a company has P50,000 in assets and P20,000 in liabilities, what is the amount of equity? a) P30,000 b) P70,000 c) P20,000 d) P50,000

a) P30,000

An investigation, audit, or review performed to confirm facts or details of a matter under consideration. a) Peer Review b) Conceptual Study c) DuPont Analysis d) Due Diligence

d) Due Diligence

Suppose the total cost per tonne for a copper mine is USD 22. At a copper price of USD 2.6 per pound of copper, assuming 80% MCF and 100% recovery, what would be the cut-off grade? a) 0.44% Cu b) 0.48% Cu c) 0.38% Cu d) 0.53% Cu

b) 0.48% Cu

Used extensively in mining and is often referred to as the “fourth utility,” behind water, electricity, and diesel. a) Money b) Compressed air c) Solar d) Lubricant

b) Compressed air

What information is specifically provided by the Statement of Cash Flows? a) The company's profitability over a period b) The changes in equity due to transactions with owners c) The sources and uses of cash categorized into operating, investing, and financing activities d) The accounting policies and explanatory notes of the financial statements

c) The sources and uses of cash categorized into operating, investing, and financing activities

Which international initiative promotes transparency and accountability in the oil, gas, and mining sectors through the disclosure of government and company data in resource-rich countries? a) WTO b) IMF c) EITI d) MICC

c) EITI

Who was the top producer of direct shipping nickel ore in the Philippines in 2022? a) Taganito Mining Corp b) Rio Tuba Nickel Mng c) Cagdianao Mining Corp d) Carrascal Nickel Corp.

a) Taganito Mining Corp

Which financial metric represents the difference between the present value of cash inflows and the present value of cash outflows over a period of time? a) Internal Rate of Return b) Net Present Value c) Accounting Rate of Return d) Payback Period

b) Net Present Value

The portion of equity that represents the contributions of owners to the company is known as: a) Retained Earnings b) Common Stock c) Treasury Stock d) Dividends Payable

b) Common Stock

Depreciation is the process of: a) Recording the cost of inventory b) Allocating the cost of a tangible asset over its useful life c) Calculating the fair market value of an asset d) Estimating the future cash flows from an investment

b) Allocating the cost of a tangible asset over its useful life

It is the network of physical devices, vehicles, and other objects embedded with sensors, software, and network connectivity, that collect and share data. a) NLP b) ML c) IoT d) ChatGPT

c) IoT

Refers to the least mining width that a vein can be mined conveniently at the least and/or least dilution. a) Economic mining width b) Economic stoping width c) Maximum stoping width d) Minimum stoping width

d) Minimum stoping width

Which convention provides a framework for the protection of the ozone layer and was established in 1988? This aimed to promote cooperation among nations by exchanging information on the effects of human activities on the ozone layer. a) Vienna Convention b) UN Framework Convention on Climate Change c) Doha Amendment d) Rio Convention

a) Vienna Convention

A high-grade block of saprolite with 3 meters of thickness and 10 meters of horizontal dimensions has bench grades of 2.3% and 21% of Ni and Fe, respectively. However, the bench grades of the surrounding adjacent blocks are deemed uneconomical, having an average of 0.78% Ni and 12% Fe due to possible intrusions. What decision should you not make if you were the grade control engineer? a) Conduct confirmatory sampling on the high-grade block. b) Mine the high-grade block together with the surrounding adjacent blocks. c) Refer to the block model for possible grade discrepancies. d) Mine the blocks, but make sure to haul the ore and waste to different dumping areas or stockpiles.

b) Mine the high-grade block together with the surrounding adjacent blocks.

Defined as material that is moved more than once to uncover the same amount of resource. a) Recast b) Recover c) Rehandle d) Remove

c) Rehandle

The isopach method of ore reserve estimation relies mainly on: a) Specific gravity of ore b) Drill holes c) Statistical data d) Contour

d) Contour

If an asset has a cost of P10,000, a residual value of P1,000, and a useful life of 5 years, what is the annual depreciation expense using the Straight-Line Method? a) P1,800 b) P2,000 c) P2,500 d) P3,000

a) P1,800

What is the main advantage of using cloud computing in the mining industry? a) Higher storage capacity b) Enhanced data security c) Improved data accessibility and collaboration d) Lower hardware costs

c) Improved data accessibility and collaboration

Which key combination is used to open Task Manager directly? a) CTRL+ALT+DEL b) CTRL+SHIFT+ESC c) ALT+TAB d) Windows + R

b) CTRL+SHIFT+ESC

These are technical and economic studies of the potential viability of Mineral Resources. These should include appropriate assessments of realistically assumed Modifying Factors necessary to determine whether or not the project should progress to a Pre-Feasibility Study. a) Feasibility studies b) Scoping studies c) Public Reports d) Market studies

b) Scoping studies

Which of the following is not a benefit of using automation in mining? a) Increased safety b) Reduced operational costs c) Higher production efficiency d) Increased manual labor

d) Increased manual labor

Which of the following cannot be performed with MineSched? a) Schedule pushbacks and mining benches b) Create block model of a resource c) Compare potential scheduling scenarios d) Model a material flow in underground mines

b) Create block model of a resource

Under the Bretton Woods System, what commodity was the basis for the US dollar and other currencies pegged to the US dollar’s value? a) Nickel b) Chromium c) Platinum d) Gold

d) Gold

Which of the following is not a feature of Facebook? a) News Feed b) Stories c) Cloud Storage d) Marketplace

c) Cloud Storage

Under PMRC 2020, __________ is a minerals industry professional who is a Member or Fellow of PSEM, GSP and/or SMEP, duly accredited by the professional organization to which he/she belongs, or of a ‘Recognized Professional Organization’ (RPO), as included in a list promulgated by PSEM, GSP, and SMEP through the PMRCC, as the need arises, subject to applicable laws and regulations. a) Qualified Person b) Competent Person c) Certified Professional d) Accredited Competent Person

d) Accredited Competent Person

The worth of a physical asset’s individual components when the asset itself is deemed no longer usable. a) Book value b) Salvage value c) Scrap value d) Resale value

c) Scrap value

It is conducted to delineate the length, width, depth, and shape of the mineralization in delineated Mineral Deposit(s) within a Mineral Property. It is also known as Phase III of Mineral Exploration. a) Exploration b) Prospecting and Preliminary Exploration c) Detailed Exploration d) Semi-detailed Exploration

d) Semi-detailed Exploration

Which convention, adopted in 1973, aims to ensure that international trade in specimens of wild animals and plants does not threaten their survival? a) Convention on International Trade in Endangered Species (CITES) b) Ramsar Convention on Wetlands c) Vienna Convention d) Paris Agreement

a) Convention on International Trade in Endangered Species (CITES)

Which of the following is the primary function of Whittle? a) Generate optimum pit shells b) Create 3D model of orebody c) Create and filter ore blocks d) Schedule pushbacks

a) Generate optimum pit shells

Which of the following is a common method for financing mining projects? a) Government grants b) Bank loans c) Crowdfunding d) Venture capital

b) Bank loans

Which of these is not a video-sharing platform? a) YouTube b) Vimeo c) TikTok d) Dropbox

d) Dropbox

In 2022, what was our country’s gold production in kgs? a) 29,007 b) 30,107 c) 24,107 d) 25,017

a) 29,007

A government-issued currency that is not backed by a physical commodity, such as gold or silver, but rather by the government that issued it. a) Paper Currencies b) Fiat system c) Gold Standard d) Representative money

b) Fiat system

It is a concentration or occurrence of solid material of economic interest in or on the Earth’s crust in such form, grade (or quality), and quantity that there are reasonable prospects for eventual economic extraction. a) Ore Resource b) Mineral Resource c) Measured Mineral Resource d) Indicated Mineral Resource

b) Mineral Resource

A period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters. a) Depression b) Expansion c) Recession d) Fluctuation

c) Recession

What is the main purpose of using drones in mining operations? a) To deliver packages b) To survey and map mining sites c) To entertain workers d) To provide internet access

b) To survey and map mining sites

Which of the following is an example of a variable cost in mining? a) Equipment depreciation b) Salaries of permanent staff c) Fuel costs d) Office rent

c) Fuel costs

Which protocol aims to reduce greenhouse gas emissions and was adopted in 1997? a) Agenda 21 b) Paris Agreement c) Vienna Convention d) Kyoto Protocol

d) Kyoto Protocol

Which of the following is a key factor in determining the feasibility of a mining project? a) The color of the mineral b) The depth of the mine c) The market price of the mineral d) The number of workers

c) The market price of the mineral

Which method is commonly used to estimate the value of a mining project? a) Monte Carlo simulation b) SWOT analysis c) PEST analysis d) Discounted Cash Flow (DCF) analysis

d) Discounted Cash Flow (DCF) analysis

It calculates the time required for the initial investment in a project to be recovered from the project’s cash inflows? a) Internal Rate of Return b) Net Present Value c) Accounting Rate of Return d) Payback Period

d) Payback Period

What does ADF in printers stand for? a) Automated Device Finder b) Automatic Document Feeder c) Additional Device Finder d) Automatic Device Feeder

b) Automatic Document Feeder

Which of the following is considered an asset on the balance sheet? a) Accounts Payable b) Long-Term Debt c) Inventory d) Common Stock

c) Inventory

Day Two 2 Flashcards

(100 cards)