Net worth means paid up share capital and reserve & surplus (i.e. shareholders equity)
Return on equity = profit after tax/net worth
Working capital turnover ratio = sales/net working capital
Total cost of production is more than net sales realisation (NSR) at breakeven point
D. Total cost of production is more than net sales realisation (NSR) at breakeven point
1
5
10
30
Linearly
Non-linearly
Exponentially
Logarithmically
Fixed
Overhead
Utilities
Capital
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)
Only slightly more
Much more
Slightly less
Almost equal
15
35
55
75
Equipment installation cost
Equipment cost by scaling
Cost of piping
Utilities cost
Inventories
Marketable securities
Chemical equipments
None of these
5 to 10
20 to 30
40 to 50
60 to 70
Difference between income and expense is termed as gross revenue
Unamortised cost is the difference between the original cost of a property and all the depreciation charges made to date
Sum-of-the-years-digits methods of depreciation calculation accounts for the interest on the investment
Scrap value is the net amount of money obtainable from the sale of used property over and above any charges involved in its removal & sale
Total product cost
Fixed cost
Income tax
None of these
Straight line method
Declining balance
Both (A) and (B)
Neither (A) nor (B)
Overhead cost
Working capital
Indirect production cost
Direct production cost
Annually
Fortnightly
Monthly
Half-yearly
Property
Excise
Income
Capital gain
Declining balance
Straight line
Sum of the years digit
None of these
30
50
75
95
1000 (1 + 0.1/4)20
1000 (1 + 0.1)20
1000 (1 + 0.1/4)5
1000 (1 + 0.1/2)5
10 to 20
35 to 45
55 to 65
70 to 80
General expenses
Overhead cost
R & D cost
None of these
Straight line
Sinking fund
Present worth
Declining balance
Manufacturing cost = direct product cost + fixed charges + plant overhead costs
General expenses = administrative expenses + distribution & marketing expenses
Total product cost = manufacturing cost + general expenses
Total product cost = direct production cost + plant overhead cost
1 to 5
10 to 20
25 to 35
35 to 45
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
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
All (A), (B) and (C)
4
13
22
34
Manufacturing cost
Depreciation by sinking fund method
Discrete compound interest
Cash ratio
Total income
Gross earning
Total product cost
Fixed cost
Interest on borrowed money
Rent of land and buildings
Property tax, insurance and depreciation
Repair and maintenance charges
Present worth method
Sinking fund method
Sum of the years-digits method
All (A), (B) and (C)