1000+ Chemical Engineering Plant Economics MCQ Questions Answers Pdf - 2

Question: 6

For a typical project, the cumulative cash flow is zero at the

(A) start up

(B) end of the design stage

(C) end of the project life

(D) break even point

Ans: D

break even point

Question: 7

Which of the following is not a compound of working capital?

(A) semi-finished products in the process

(B) transportation facilities

(C) raw materials is stock

(D) finished products in stock

Ans: A

semi-finished products in the process

Question: 8

Return on investment (ROI) means

(A) annual cost/cost of capital

(B) cost of capital/annual cost

(C) initial investment/annual return

(D) annual net cash flow/capital cost

Ans: D

annual net cash flow/capital cost

Question: 9

Effluent treatment cost in a chemical plant is categorised as the _____ cost.

(A) capital

(B) utilites

(C) overhead

(D) fixed

Ans: B

utilites

Question: 10

Which of the following is the costliest material of construction used in pressure vessel construction?

(A) high alloy steel

(B) titanium

(C) low alloy steel

(D) lead

Ans: B

titanium

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