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Chemical Engineering :: Chemical Engineering Plant Economics

  1. Which of the following is not a component of the fixed capital for a chemical plant facility?

  2. A.

     Raw materials inventory

    B.

     Utilities plants

    C.

     Process equipment

    D.

     Emergency facilities


  3. Which of the following is not a component of the working capital for a chemical process plant?

  4. A.

     Product inventory

    B.

     In-process inventory

    C.

     Minimum cash reserve

    D.

     Storage facilities


  5. Optimum economic pipe diameter for fluid is determined by the

  6. A.

     Viscosity of the fluid

    B.

     Density of the fluid

    C.

     Total cost considerations (pumping cost plus fixed cost of the pipe)

    D.

     None of these


  7. In which of the electric power generation system, the operating cost is minimum?

  8. A.

     Thermal

    B.

     Nuclear

    C.

     Hydroelectric

    D.

     Fast breeder reactor


  9. Nominal and effective interest rates are equal, when the interest is compounded

  10. A.

     Quarterly

    B.

     Semi-annually

    C.

     Annually

    D.

     In no case, they are equal


  11. Effective and nominal interest rates are equal, when the interest is compounded

  12. A.

     Annually

    B.

     Fortnightly

    C.

     Monthly

    D.

     half-yearly


  13. Which of the following ceramic packing materials is the costliest of all?

  14. A.

     Berl saddles

    B.

     Raschig rings

    C.

     Pall rings

    D.

     Intalox saddles


  15. Pick out the correct statement.

  16. A.

     Difference between income and expense is termed as gross revenue

    B.

     Unamortised cost is the difference between the original cost of a property and all the depreciation charges made to date

    C.

     Sum-of-the-years-digits methods of depreciation calculation accounts for the interest on the investment

    D.

     Scrap value is the net amount of money obtainable from the sale of used property over and above any charges involved in its removal & sale


  17. 'Lang factor' is defined as the ratio of the capital investment to the delivered cost of major equipments. The value of 'Lang factor' for fixed capital investment, for a solid-fluid processing chemical plant ranges from

  18. A.

     1.2 to 1.4

    B.

     2.5 to 2.7

    C.

     4.2 to 4.4

    D.

     6.2 to 6.4


  19. In an ordinary chemical plant, electrical installation cost may be about

  20. A.

     10-15% of purchased equipment cost

    B.

     3-10% of fixed capital investment

    C.

     Either A or B

    D.

     Neither A nor B