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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
Nominal and effective interest rates are equal, when the interest is compounded

Quarterly
In no case, they are equal
Annually
Semi-annually

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Chemical Engineering Plant Economics
Which of the following is not a component of the fixed capital for a chemical plant facility?

Raw materials inventory
Emergency facilities
Process equipment
Utilities plants

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Chemical Engineering Plant Economics
'P' is the investment made on an equipment, 'S' is its salvage value and 'n is the life of the equipment in years. The depreciation for rath year by the sum-of years digit method will be

(P - S)/n
M/n x (P - S)
2(n - m + 1)/n(n + 1) x (P - S)
1 - (P/S)1/m

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Chemical Engineering Plant Economics
Which of the following does not come under the sales expenses for a product of a chemical plant?

Customer service
Warehousing
Advertising
Legal fees

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Chemical Engineering Plant Economics
Factory manufacturing cost is the sum of the direct production cost

None of these
And plant overhead cost
Fixed charges and plant overhead cost
Plant overhead cost and administrative expenses

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Chemical Engineering Plant Economics
Manufacturing cost in a chemical company does not include the

Administrative expenses
Fixed charges
Plant overheads
Direct products cost

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