Discussion
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- Question
Following the six-tenth factor rule, if a log-log plot of capacity of the equipment vs. cost of the equipment is made, then a straight line is obtained, whose slope is equal to
Options- A. 0.1
- B. 0.6
- C. 0.2
- D. 0.8
- Correct Answer
- 0.6
- 1. Which of the following ceramic packing materials is the costliest of all?
Options- A. Berl saddles
- B. Raschig rings
- C. Pall rings
- D. Intalox saddles Discuss
- 2. Manufacturing cost in a chemical company does not include the
Options- A. fixed charges.
- B. plant overheads.
- C. direct products cost.
- D. administrative expenses. Discuss
- 3. Which of the following is not a component of the working capital for a chemical process plant?
Options- A. Product inventory.
- B. In-process inventory.
- C. Minimum cash reserve.
- D. Storage facilities. Discuss
- 4. Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method?
Options- A. Multiple straight line method
- B. Sinking fund method
- C. Declining balance method
- D. Sum of the years digit method Discuss
- 5. Depreciation
Options- A. costs (on annual basis) are constant when the straight line method is used for its determination.
- B. is the unavoidable loss in the value of the plant, equipment and materials with lapse in time.
- C. does figure in the calculation of income tax liability on cash flows from an investment.
- D. all (a), (b) and (c). Discuss
- 6. In a chemical process plant, the total product cost comprises of manufacturing cost and the
Options- A. general expenses
- B. overhead cost
- C. R & D cost
- D. none of these Discuss
- 7. A shareholder has __________ say in the affairs of company management compared to a debenture holder.
Options- A. more
- B. less
- C. same
- D. no Discuss
- 8. Which of the following is the cheaptest material of construction for the storage of sodium hydroxide upto a concentration of 75%?
Options- A. Stainless steel
- B. Plain carbon steel
- C. Nickel
- D. Copper Discuss
- 9. An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from the time of initial payment to the end of annuity term. Ordinary annuity is used in the calculation of the
Options- A. manufacturing cost.
- B. depreciation by sinking fund method.
- C. discrete compound interest.
- D. cash ratio. Discuss
- 10. Expenditure on research and development (R & D) is categorised as the __________ , while making an estimate of the total product cost for a chemical plant.
Options- A. overhead cost
- B. fixed expenses
- C. general expenses
- D. direct production cost Discuss
Chemical Engineering Plant Economics problems
Search Results
Correct Answer: Berl saddles
Correct Answer: administrative expenses.
Correct Answer: Storage facilities.
Correct Answer: Sinking fund method
Correct Answer: all (a), (b) and (c).
Correct Answer: general expenses
Correct Answer: more
Correct Answer: Plain carbon steel
Correct Answer: depreciation by sinking fund method.
Correct Answer: general expenses
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