And economic life of a project are the same
Is the length of time over which the earnings on a project equals the investment
Is affected by the variation in earnings after the recovery of the investment
All (A), (B) and (C)
B. Is the length of time over which the earnings on a project equals the investment
Berl saddles
Raschig rings
Pall rings
Intalox saddles
1.2 to 1.4
2.5 to 2.7
4.2 to 4.4
6.2 to 6.4
End of the project life
Breakeven point
Start up
End of the design stage
And economic life of a project are the same
Is the length of time over which the earnings on a project equals the investment
Is affected by the variation in earnings after the recovery of the investment
All (A), (B) and (C)
Decrease
Increase
No change
None of these
300
600
800
1000
Initial cost
Book value at the end of (n - 1)th year
Depreciation during the (n - 1)th year
Difference between initial cost and salvage value
Straight line
Sinking fund
Present worth
Declining balance
The annual depreciation rate for machinery and equipments in a chemical process plant is about 10% of the fixed capital investment
Annual depreciation rate of buildings in a chemical plant is about 3% of its initial cost
Insurance rates on annual basis in a chemical plant may be about 1% of the fixed capital investment
In a chemical industry, research and development cost amounts to about 15% of net sales realisation (NSR)
10 to 20
20 to 40
45 to 60
65 to 75
(P - S)/n
1 - (P/S)1/m
(m/n) (P - S)
[2 (n - m + 1)/n(n + 1)]. (P - S)
1000 (1 + 0.1/4)20
1000 (1 + 0.1)20
1000 (1 + 0.1/4)5
1000 (1 + 0.1/2)5
2
10
30
50
10-15% of purchased equipment cost
3-10% of fixed capital investment
Either (A) or (B)
Neither (A) nor (B)
General expenses
Overhead cost
R & D cost
None of these
The financial condition at any given time
Only current assets
Only fixed assets
Only current and fixed assets
5 years
7 years
12 years
10 years
Proper utilisation of machines
Means to minimise idle time for machines
Time of completion of job
Time of starting of job and also about how much work should be completed during a particular period
Total annual rate of production equals the assigned value
Total annual product cost equals the total annual sales
Annual profit equals the expected value
Annual sales equals the fixed cost
Fixed charges and plant overhead cost
And plant overhead cost
Plant overhead cost and administrative expenses
None of these
Cash reserve
Rate of return on investment
Payout period
Discounted cash flow based on full life performance
Declining balance
Straight line
Sum of the years digit
None of these
Efficient utilisation of manpower and machines
Preparing production schedule
Efficient despatching of products
Inventory control
Low alloy steel
Lead
Titanium
High alloy steel
Gross margin = net income - net expenditure
Net sales realisation (NSR) = Gross sales - selling expenses
At breakeven point, NSR is more than the total production cost
Net profit = Gross margin - depreciation - interest
One
Three
Six
Twelve
Profit before interest and tax i.e., net profit + interest + tax
Profit after tax plus depreciation
Net profit + tax
Profit after tax
Repairs and maintenance cost
Loss due to obsolescence of the equipment
Loss due to decrease in the demand of product
Loss due to accident/breakdown in the machinery
Overhead cost
Fixed expenses
General expenses
Direct production cost
Market survey
Operating labour, supervision and supplies
Overhead and utilities
Depreciation, property tax and insurance