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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
In a chemical process plant, the total product cost comprises of manufacturing cost and the

Overhead cost
R & D cost
None of these
General expenses

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Chemical Engineering Plant Economics
The payback method for the measurement of return on investment

Underemphasises liquidity
Gives a correct picture of profitability
Does not measure the discounted rate of return
Takes into account the cash inflows after the recovery of investments

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Chemical Engineering Plant Economics
Cost of instrumentation in a modern chemical plant ranges from __________ percent of the total plant cost.

5 to 10
40 to 50
20 to 30
60 to 70

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Chemical Engineering Plant Economics
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

0.6
0.2
0.8
0.1

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Chemical Engineering Plant Economics
'Utilities' in a chemical process plant includes compressed air, steam, water, electrical power, oxygen, acetylene, fuel gases etc. Utility costs for ordinary chemical process plants ranges roughly from __________ percent of the total product cost.

35 to 45
10 to 20
25 to 35
1 to 5

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Chemical Engineering Plant Economics
'Six-tenth factor' rule is used for estimating the

Utilities cost
Cost of piping
Equipment installation cost
Equipment cost by scaling

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