Chemical Engineering Plant Economics
In declining balance method of depreciation calculation, the

Annual depreciation is the fixed percentage of the property value at the beginning of the particular year
Annual cost of depreciation is same every year
Value of the asset decreases linearly with time
None of these

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Chemical Engineering Plant Economics
Fixed capital investment of a chemical plant is the total amount of money needed to supply the necessary plant and manufacturing facilities plus the working capital for operation of the facilities. Which of the following components of fixed capital investment requires minimum percentage of it?

Electrical installation cost
Equipment insulation cost
Cost for piping
Equipment installation cost

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Chemical Engineering Plant Economics
An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from the time of initial payment to the end of annuity term. Ordinary annuity is used in the calculation of the

Depreciation by sinking fund method
Manufacturing cost
Discrete compound interest
Cash ratio

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