Chemical Engineering Plant Economics
Chemical engineering plant cost index is used for finding the present cost of a particular chemical plant, if the cost of similar plant at some time in the past is known. The present cost of the plant = original cost x (index value/(index value at original cost was obtained) The most major component of this cost index is

Process instruments and control
Pumps and compressor
Electrical equipments and material
Fabricated equipment and machinery

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Chemical Engineering Plant Economics
Payback period

Is the length of time over which the earnings on a project equals the investment
Is affected by the variation in earnings after the recovery of the investment
And economic life of a project are the same
All of these

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