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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
Most chemical plants use an initial working capital amounting to 10-20% of the total capital investment. But this percentage may increase to __________ percent in case of seasonal products manufacturing plant.

50
30
95
75

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Chemical Engineering Plant Economics
Which of the following elements is not included in the scope of market analysis?

Product distribution
Competition from other manufactures
Opportunities
Economics

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Chemical Engineering Plant Economics
Fixed charges for a chemical plant does not include the

Rent of land and buildings
Interest on borrowed money
Property tax, insurance and depreciation
Repair and maintenance charges

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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
Sum of the years digit method
Multiple straight line method

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Chemical Engineering Plant Economics
In a chemical process plant, the total product cost comprises of manufacturing cost and the

General expenses
None of these
R & D cost
Overhead cost

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Chemical Engineering Plant Economics
An investment of Rs. 100 lakhs is to be made for construction of a plant, which will take two years to start production. The annual profit from the operation of the plant is Rs. 20 lakhs. What will be the pay back time?

5 years
10 years
7 years
12 years

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