Chemical Engineering - Chemical Engineering Plant Economics

Exercise : Chemical Engineering Plant Economics - Section 2
1.
If an amount R is paid at the end of every year for 'n' years, then the net present value of the annuity at an interest rate of i is
R(1 + i)n
R/(1 + i)n
Answer: Option
Explanation:
No answer description is available. Let's discuss.

2.
A shareholder has __________ say in the affairs of company management compared to a debenture holder.
more
less
same
no
Answer: Option
Explanation:
No answer description is available. Let's discuss.

3.
Which of the following is not a component of the working capital for a chemical process plant ?
Product inventory.
In-process inventory.
Minimum cash reserve.
Storage facilities.
Answer: Option
Explanation:
No answer description is available. Let's discuss.

4.
A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years. The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value of the reactor after 5 years using sinking fund depreciation method will be Rs.
40096
43196
53196
60196
Answer: Option
Explanation:
No answer description is available. Let's discuss.

5.
Relative cost of chemical process plants in India is about __________ percent more than the similar plants in U.S.A.
15
35
55
75
Answer: Option
Explanation:
No answer description is available. Let's discuss.