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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
Direct costs component of the fixed capital consists of

Contingencies
Labour costs
Raw material costs
Onsite and offsite costs

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Chemical Engineering Plant Economics
Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method?

Sinking fund method
Declining balance method
Multiple straight line method
Sum of the years digit method

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Chemical Engineering Plant Economics
Which of the following is the cheaptest material of construction for the storage of sodium hydroxide upto a concentration of 75%?

Plain carbon steel
Stainless steel
Nickel
Copper

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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
Underemphasises liquidity
Takes into account the cash inflows after the recovery of investments
Gives a correct picture of profitability

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Chemical Engineering Plant Economics
Equipment installation cost in a chemical process plant ranges from __________ percent of the purchased equipment cost.

35 to 45
55 to 65
10 to 20
70 to 80

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Chemical Engineering Plant Economics
If 'S' is the amount available after 'n' interest periods for an initial principal 'P' with the discrete compound interest rate 'i', the present worth is given by

S/(1 + i)n
S/(1 + in)
(1 + i)n/S
S/(1 + n)i

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