Related Questions
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4
Total product cost of a chemical plant does not include the __________ cost.
B. Operating labour, supervision and supplies
C. Overhead and utilities
D. Depreciation, property tax and insurance
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4
Which of the following is not a component of working capital?
A. Raw materials is stock
B. Finished products in stock
C. Transportation facilities
D. Semi-finished products in the process
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4
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.
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4
In declining balance method of depreciation calculation, the
A. Value of the asset decreases linearly with time
B. Annual cost of depreciation is same every year
C. Annual depreciation is the fixed percentage of the property value at the beginning of the particular year
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4
Fixed capital investment of a chemical plant is the total amount of money needed to supply the necessary plant and manufacturing facilities plus the working capital for operation of the facilities. Which of the following components of fixed capital investment requires minimum percentage of it?
A. Electrical installation cost
B. Equipment installation cost
D. Equipment insulation cost
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4
Gross earning is equal to the total income minus
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4
The inventory of raw materials included in the working capital is usually about __________ months supply of raw materials valued at delivery prices.
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4
Cost of instrumentation in a modern chemical plant ranges from __________ percent of the total plant cost.
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4
Generally, income taxes are based on the
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4
Which of the following is the costliest source of getting hydrogen on commercial scale for the manufacture of nitrogenous fertiliser?
B. Steam reforming of naphtha
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4
Profit is equal to revenue minus
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4
An investment of Rs. 1000 is carrying an interest of 10% compounded quarterly. The value of the investment at the end of five years will be
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4
Pick out the wrong statement.
A. Net worth means paid up share capital and reserve & surplus (i.e. shareholders equity)
B. Return on equity = profit after tax/net worth
C. Working capital turnover ratio = sales/net working capital
D. Total cost of production is more than net sales realisation (NSR) at breakeven point
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4
The economic life of a large chemical process plant as compared to a small chemical plant is
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4
Accumulated sum at the end of 5 years, if Rs. 10000 is invested now at 10% interest per annum on a compound basis is Rs.
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4
Which of the following is the cheapest material of construction for the storage of sodium hydroxide upto a concentration of 75%?
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4
Which of the following is not a component of the working capital for a chemical process plant?
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4
Pick out the correct statement.
A. Difference between income and expense is termed as gross revenue
B. Unamortised cost is the difference between the original cost of a property and all the depreciation charges made to date
C. Sum-of-the-years-digits methods of depreciation calculation accounts for the interest on the investment
D. 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
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4
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 known. The present cost of the plant = original cost × (index value at present/ index value at time original cost was obtained). The most major component of this cost index is
A. Fabricated equipment and machinery
B. Process instruments and control
D. Electrical equipments and material
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4
Effective and nominal interest rates are equal, when the interest is compounded
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4
Depreciation is __________ in profit with time.
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4
The 'total capital investment' for a chemical process plant comprises of the fixed capital investment and the
C. Indirect production cost
D. Direct production cost
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4
For a typical project, the cumulative cash flow is zero at the
A. End of the project life
D. End of the design stage
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4
__________ method for profitability evaluation of a project does not account for investment cost due to land.
D. Rate of return on investment
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4
A machine has an initial value of Rs. 5000, service life of 5 years and final salvage value of Rs. 1000. The annual depreciation cost by straight line method is Rs.
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4
With increase in the discounted cash flow rate of return, the ratio of the total present value to the initial investment of a given project
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4
__________ of depreciation calculation does not take into account the interest on investments.
C. Sum of the years-digits method
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4
Which of the following is not a component of the fixed capital for a chemical plant facility?
A. Raw materials inventory
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4
Operating profit of a chemical plant is equal to
A. Profit before interest and tax i.e., net profit + interest + tax
B. Profit after tax plus depreciation
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4
A shareholder has __________ say in the affairs of company management compared to a debenture holder.