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  1. Utilities cost in the operation of chemical process plant comes under the

  2. A.

     Plant overhead cost

    B.

     Fixed charges

    C.

     Direct production cost

    D.

     General expenses

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  3. Which of the following does not come under the sales expenses for a product of a chemical plant?

  4. A.

     Advertising

    B.

     Warehousing

    C.

     Legal fees

    D.

     Customer service

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  5. 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.

  6. A.

     30

    B.

     50

    C.

     75

    D.

     95

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  7. According to six-tenths-factor rule, if the cost of a given unit at one capacity is known, then the cost of similar unit with '' times the capacity of the first unit is approximately equal to __________ times the cost of the initial unit.

  8. A.

     N

    B.

     N0.6

    C.

     N0.4

    D.

     √n

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  9. 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

  10. A.

     1000 (1 + 0.1/4)20

    B.

     1000 (1 + 0.1)20

    C.

     1000 (1 + 0.1/4)5

    D.

     1000 (1 + 0.1/2)5

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  11. Direct costs component of the fixed capital consists of

  12. A.

     Contingencies

    B.

     Onsite and offsite costs

    C.

     Labour costs

    D.

     Raw material costs

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  13. Purchased cost of equipments for a chemical process plant ranges from __________ percent of the fixed capital investment.

  14. A.

     10 to 20

    B.

     20 to 40

    C.

     45 to 60

    D.

     65 to 75

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  15. Cost of piping in a fluid processing unit (e.g., distillation) of a chemical process plant is about __________ percent of the fixed capital investment.

  16. A.

     4

    B.

     13

    C.

     22

    D.

     34

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  17. If 'S' is the amount available after 'n' interest periods for an initial principal 'P' with the discrete compound interest rate 'i', the present worth is given by

  18. A.

     (1 + i)n/S

    B.

     S/(1 + i)n

    C.

     S/(1 + in)

    D.

     S/(1 + n)i

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  19. Equipment installation cost in a chemical process plant ranges from __________ percent of the purchased equipment cost.

  20. A.

     10 to 20

    B.

     35 to 45

    C.

     55 to 65

    D.

     70 to 80

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