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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
A series of equal payments (e.g., deposit or cost) made at equal intervals of time is known as

Capital charge factor
Perpetuity
Future worth
Annuity

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Chemical Engineering Plant Economics
Generally, income taxes are based on the

Fixed cost
Total product cost
Gross earning
Total income

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Chemical Engineering Plant Economics
Manufacturing cost in a chemical company does not include the

Plant overheads
Administrative expenses
Direct products cost
Fixed charges

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Chemical Engineering Plant Economics
Gantt chart (or Bar chart) is helpful in

Efficient utilisation of manpower and machines
Preparing production schedule
Efficient despatching of products
Inventory control

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Chemical Engineering Plant Economics
The payback method for the measurement of return on investment

Does not measure the discounted rate of return
Takes into account the cash inflows after the recovery of investments
Gives a correct picture of profitability
Underemphasises liquidity

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Chemical Engineering Plant Economics
Functional depreciation of an equipment is the measure of decrease in its value due to its

Wear and tear
Breakdown or accident
Ageing
Obsolescence

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MORE MCQ ON Chemical Engineering Plant Economics

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