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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
Annual depreciation costs are constant, when the __________ method of depreciation calculation is used.

Straight line
Sum of the years digit
Declining balance
None of these

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Chemical Engineering Plant Economics
If an amount R is paid at the end of every year for 'n' years, then the net present value of the annuity at an interest rate of i is

R[((1 + i)n - 1)/i]
[((1 + i)n - 1)/i(1 + i)n]
R/(1 + i)n
R(1 + i)n

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Chemical Engineering Plant Economics
Maximum production start up cost for making a chemical plant operational is about __________ percent of the fixed capital cost.

5
1
30
10

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Chemical Engineering Plant Economics
Which of the following is not a component of the fixed capital for a chemical plant facility?

Raw materials inventory
Utilities plants
Process equipment
Emergency facilities

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Chemical Engineering Plant Economics
With increase in the discounted cash flow rate of return, the ratio of the total present value to the initial investment of a given project

Increases linearly
Remains constant
Decreases
Increases

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Chemical Engineering Plant Economics
The value of a property decreases __________ with time in straight line method of determining depreciation.

Exponentially
Non-linearily
Linearly
Logarithmically

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