Discussion
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- Question
Total product cost of a chemical plant does not include the __________ cost.
Options- A. market survey
- B. operating labour, supervision and supplies
- C. overhead and utilities
- D. depreciation, property tax and insur-rance
- Correct Answer
- market survey
- 1. Factory manufacturing cost is the sum of the direct production cost
Options- A. fixed charges and plant overhead cost.
- B. and plant overhead cost.
- C. plant overhead cost and administrative expenses.
- D. none of these. Discuss
- 2. An investment of Rs. 1000 is carrying an interest of 10% compounded quarterly. The value of the investment at the end of five years will be
Options- A.
- B. 1000 (1 + 0.1)20
- C.
- D.
Discuss
- 3. The amount of simple interest during 'n' interest period is (where, i = interest rate based on the length of one interest period, p = principal)
Options- A. p.i.n.
- B. p(1 + i.n)
- C. p(1 + i)n
- D. p(1 - i.n) Discuss
- 4. A present sum of Rs. 100 at the end of one year, with half yearly rate of interest at 10%, will be Rs.
Options- A. 121
- B. 110
- C. 97
- D. 91 Discuss
- 5. The value of a property decreases __________ with time in straight line method of determining depreciation.
Options- A. linearly
- B. non-linearily
- C. exponentially
- D. logarithmically Discuss
- 6. Which of the following does not come under the sales expenses for a product of a chemical plant?
Options- A. Advertising
- B. Warehousing
- C. Legal fees
- D. Customer service. Discuss
- 7. The 'total capital investment' for a chemical process plant comprises of the fixed capital investment and the
Options- A. overhead cost
- B. working capital
- C. indirect production cost
- D. direct production cost Discuss
- 8. Which of the following is not a component of the fixed capital for a chemical plant facility?
Options- A. Raw materials inventory.
- B. Utilities plants.
- C. Process equipment.
- D. Emergency facilities. Discuss
- 9. For a typical project, the cumulative cash flow is zero at the
Options- A. end of the project life.
- B. break even point.
- C. start up.
- D. end of the design stage. Discuss
- 10. Effective and nominal interest rates are equal, when the interest is compounded
Options- A. annually
- B. fortnightly
- C. monthly
- D. half-yearly Discuss
Chemical Engineering Plant Economics problems
Search Results
Correct Answer: fixed charges and plant overhead cost.
Correct Answer:
Correct Answer: p.i.n.
Correct Answer: 121
Correct Answer: linearly
Correct Answer: Legal fees
Correct Answer: working capital
Correct Answer: Raw materials inventory.
Correct Answer: break even point.
Correct Answer: annually
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