Chemical Engineering - Chemical Engineering Plant Economics

Exercise : Chemical Engineering Plant Economics - Section 2
36.
For a typical project, the cumulative cash flow is zero at the
end of the project life.
break even point.
start up.
end of the design stage.
Answer: Option
Explanation:
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37.
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 ?
5 years
7 years
12 years
10 years
Answer: Option
Explanation:
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38.
'Lang factor' is defined as the ratio of the capital investment to the delivered cost of major equipments. The value of 'Lang factor' for fixed capital investment, for a solid-fluid processing chemical plant ranges from
1.2 to 1.4
2.5 to 2.7
4.2 to 4.4
6.2 to 6.4
Answer: Option
Explanation:
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39.
A balance sheet for a chemical plant shows its financial condition at any given date. It does not contain the __________ of the plant.
current asset
current liability
long term debt
profit
Answer: Option
Explanation:
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40.
The 'total capital investment' for a chemical process plant comprises of the fixed capital investment and the
overhead cost
working capital
indirect production cost
direct production cost
Answer: Option
Explanation:
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