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Chemical Engineering Plant Economics

Chemical Engineering Plant Economics
The ratio of working capital to total capital investment for most chemical plants (except for non-seasonal based products) is in the range of __________ percent.

0.1 to 1
50 to 60
1 to 2
10 to 20

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Chemical Engineering Plant Economics
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?

10 years
12 years
7 years
5 years

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Chemical Engineering Plant Economics
Functional depreciation of an equipment is the measure of decrease in its value due to its

Ageing
Wear and tear
Obsolescence
Breakdown or accident

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Chemical Engineering Plant Economics
A balance sheet for a chemical plant shows its financial condition at any given date. It does not contain the __________ of the plant.

Long term debt
Profit
Current liability
Current asset

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Chemical Engineering Plant Economics
Depreciation is __________ in profit with time.

Increase
None of these
No change
Decrease

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Chemical Engineering Plant Economics
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

150%
15%
1.5%
10%

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