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Chemical engineering plant economics
1-Dont try to cram or spend more time here just read it fast and cover syllabus then practice MCQ's cheptor of same topic to check your progress. . |
2-Wrong options are also given but dont concentrate there, Right answer is in bold format. |
Q1 ⇒ Which of the following elements is not included in the scope of market analysis ? Economics [other wrong options] [Discuss in forum] ![]() ![]() Competition from other manufactures. Product distribution. Opportunities |
Q2 ⇒ For a given fluid, as the pipe diameter increases, the pumping cost decreases. [other wrong options] [Discuss in forum] ![]() ![]() increases. remains the same. may increase or decrease, depending upon whether the fluid is Newtonian or non-Newtonian. |
Q3 ⇒ Which of the following is the costliest material of construction used in pressure vessel construction ? Titanium [other wrong options] [Discuss in forum] ![]() ![]() Low alloy steel Lead High alloy steel |
Q4 ⇒ Which of the following is a component of working capital investment ? Maintenance and repair inventory. [other wrong options] [Discuss in forum] ![]() ![]() Utilities plants. Process equipments. Depreciation. |
Q5 ⇒ Annual depreciation costs are constant, when the __________ method of depreciation calculation is used. straight line [other wrong options] [Discuss in forum] ![]() ![]() declining balance sum of the years digit none of these |
Q6 ⇒ A shareholder has __________ say in the affairs of company management compared to a debenture holder. more [other wrong options] [Discuss in forum] ![]() ![]() less same no |
Q7 ⇒ In financial accounting of a chemical plant, which of the following relationship is invalid? Assets = capital. [other wrong options] [Discuss in forum] ![]() ![]() Assets = equities Assets = liabilities + net worth Total income = costs + profits |
Q8 ⇒ Which of the following does not come under the sales expenses for a product of a chemical plant ? Legal fees [other wrong options] [Discuss in forum] ![]() ![]() Advertising Warehousing Customer service. |
Q9 ⇒ Which of the following is not a mathematical method for evaluation of profitability of a chemical process plant ? Cash reserve. [other wrong options] [Discuss in forum] ![]() ![]() Rate of return on investment. Payout period. Discounted cash flow based on full life performance. |
Q10 ⇒ Manufacturing cost in a chemical company does not include the administrative expenses. [other wrong options] [Discuss in forum] ![]() ![]() fixed charges. plant overheads. direct products cost. |
Q11 ⇒ 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 kno fabricated equipment and machinery. [other wrong options] [Discuss in forum] ![]() ![]() process instruments and control. pumps and compressor. electrical equipments and material. |
Q12 ⇒ Optimum number of effects in a multiple effect evaporator is decided by the cost benefit analysis. [other wrong options] [Discuss in forum] ![]() ![]() floor area availability. terminal parameters. evaporation capacity required. |
Q13 ⇒ Direct costs component of the fixed capital consists of onsite and offsite costs [other wrong options] [Discuss in forum] ![]() ![]() contingencies labour costs raw material costs |
Q14 ⇒ __________ of depreciation calculation accounts for the interest on investement. neither (a) nor (b). [other wrong options] [Discuss in forum] ![]() ![]() Straight line method Declining balance both (a) and (b) |
Q15 ⇒ In which of the electric power generation system, the operating cost is minimum ? Hydroelectric [other wrong options] [Discuss in forum] ![]() ![]() Thermal Nuclear Fast breeder reactor |
Q16 ⇒ Most chemical plants use an initial working capital amounting to 10-20% of the total capital investment. But this percentage may increase to __________ percent in case of seasonal products manufacturing plant. 50 [other wrong options] [Discuss in forum] ![]() ![]() 30 75 95 |
Q17 ⇒ 'Six-tenth factor' rule is used for estimating the equipment cost by scaling. [other wrong options] [Discuss in forum] ![]() ![]() equipment installation cost. cost of piping. utilities cost. |
Q18 ⇒ Cost incurred towards __________ in a chemical plant is a component of the utilities cost. water supply [other wrong options] [Discuss in forum] ![]() ![]() running a control laboratory property protection medical services |
Q19 ⇒ Which of the following is not a component of the working capital for a chemical process plant ? Storage facilities. [other wrong options] [Discuss in forum] ![]() ![]() Product inventory. In-process inventory. Minimum cash reserve. |
Q20 ⇒ Depreciation all (a), (b) and (c). [other wrong options] [Discuss in forum] ![]() ![]() costs (on annual basis) are constant when the straight line method is used for its determination. is the unavoidable loss in the value of the plant, equipment and materials with lapse in time. does figure in the calculation of income tax liability on cash flows from an investment. |
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