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Chemical Engineering Plant Economics

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

Raw materials inventory
Process equipment
Emergency facilities
Utilities plants

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Chemical Engineering Plant Economics
If the interest rate of 10% per period is compounded half yearly, the actual annual return on the principal will be __________ percent.

20
< 20
10
>20

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Chemical Engineering Plant Economics
__________ of depreciation calculation does not take into account the interest on investments.

Present worth method
Sinking fund method
Sum of the years-digits method
All of these

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Chemical Engineering Plant Economics
A machine has an initial value of Rs. 5000, service life of 5 years and final salvage value of Rs. 1000. The annual depreciation cost by straight line method is Rs.

800
300
600
1000

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

Storage facilities
Minimum cash reserve
In-process inventory
Product inventory

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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?

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

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MORE MCQ ON Chemical Engineering Plant Economics

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