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CHEMICAL ENGINEERING PLANT ECONOMICS QUIZ

Functional depreciation of an equipment is the measure of decrease in its value due to its

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

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Equipment installation cost in a chemical process plant ranges from __________ percent of the purchased equipment cost.

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The total investment in a project is Rs. 10 lakhs and the annual profit is 1.5 lakhs. If the project life is 10 years, then the simple rate of return on investment is

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An investment of Rs. 100 lakhs is to be made for construction of a plant, which will take two years to start production. The annual profit from the operation of the plant is Rs. 20 lakhs. What will be the pay back time?

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Chemical engineering plant cost index is used for finding the present cost of a particular chemical plant, if the cost of similar plant at some time in the past is known. The present cost of the plant = original cost x (index value/(index value at original cost was obtained)The most major component of this cost index is

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Which of the following is the costliest source of getting hydrogen on commercial scale for the manufacture of nitrogeneous fertiliser?

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Annual depreciation costs are constant, when the __________ method of depreciation calculation is used.

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__________ of depreciation calculation does not take into account the interest on investments.

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Which of the following is not a component of working capital?

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