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  • Question
  • 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

  • Correct Answer
  • working capital 


  • Chemical Engineering Plant Economics problems


    Search Results


    • 1. 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
    • 2. 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
    • Discuss
    • 3. 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
    • 4. 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
    • 5. 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
    • 6. 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
    • 7. 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
    • 8. Effective and nominal interest rates are equal, when the interest is compounded

    • Options
    • A. annually
    • B. fortnightly
    • C. monthly
    • D. half-yearly
    • Discuss
    • 9. Depreciation is __________ in profit with time.

    • Options
    • A. decrease
    • B. increase
    • C. no change
    • D. none of these
    • Discuss
    • 10. Which of the following is the costliest source of getting hydrogen on commercial scale for the manufacture of nitrogeneous fertiliser?

    • Options
    • A. Coal gasification
    • B. Steam reforming of naphtha
    • C. Alectrolysis of water
    • D. Coke oven gas
    • Discuss


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