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CHEMICAL ENGINEERING PLANT ECONOMICS

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

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

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Chemical Engineering Plant Economics
Cost of instrumentation in a modern chemical plant ranges from __________ percent of the total plant cost.

40 to 50
60 to 70
5 to 10
20 to 30

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

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

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Chemical Engineering Plant Economics
Annual depreciation cost are not constant when, the __________ method of depreciation calculation is used.

Sinking fund
Present worth
Declining balance
Straight line

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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
Underemphasises liquidity
Gives a correct picture of profitability

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