All Free Chemical Engineering MCQs with Answers
Every Chemical Engineering question in the bank, across all chapters, each with the correct answer and a written explanation. Free and unlimited, with no account needed.
6,983 questions · page 329 of 350
- A. Declining balance
- B. Sum of the years digit
- C. Straight line
- D. None of these
Explanation: The straight-line method divides the depreciable amount equally over the asset life, giving the same depreciation charge every year.
Correct answer: Straight line- A. 121
- B. 110
- C. 97
- D. 91
Explanation: With 10% interest every half-year, one year contains two compounding periods: Rs. 100 × (1.10)² = Rs. 121.
Correct answer: 121- A. Multiple straight line method
- B. Sum of the years digit method
- C. Declining balance method
- D. Sinking fund method
Explanation: The sinking-fund method charges less depreciation in the early years, so its early book values remain higher than with straight-line…
Correct answer: Sinking fund method6564. Effective and nominal interest rates are equal, when the interest is compounded__________________?
- A. Annually
- B. Fortnightly
- C. Monthly
- D. Half-yearly
Explanation: Nominal and effective annual rates are identical only when compounding occurs once per year.
Correct answer: Annually- A. Overhead cost
- B. General expenses
- C. R & D cost
- D. None of these
Explanation: Total product cost is obtained by adding general expenses to manufacturing cost.
Correct answer: General expenses- A. Cash ratio
- B. Current ratio
- C. Net working capital
- D. Liquids assets
Explanation: Net working capital measures the funds tied up in short-term operations and is calculated as current assets minus current liabilities.
Correct answer: Net working capital- A. None of these
- B. And plant overhead cost
- C. Plant overhead cost and administrative expenses
- D. Fixed charges and plant overhead cost
Explanation: Factory manufacturing cost includes direct production cost, fixed charges, and plant overhead cost.
Correct answer: Fixed charges and plant overhead cost- A. 15
- B. 35
- C. 55
- D. 75
Explanation: The conventional chemical-plant cost estimate used in this comparison places Indian plants at about 35% above comparable U.S. plants.
Correct answer: 35- A. Cash reserve
- B. Turnover
- C. Capital
- D. Investment
Explanation: The turnover ratio is gross annual sales divided by fixed capital investment.
Correct answer: Turnover- A. 1 to 5
- B. 25 to 35
- C. 10 to 20
- D. 35 to 45
Explanation: Utilities commonly account for roughly 10 to 20% of total product cost in ordinary chemical process plants.
Correct answer: 10 to 206571. Construction expenses are roughly _____________ percent of the total direct cost of the plant ?
- A. 2
- B. 10
- C. 30
- D. 50
Explanation: Construction expenses are commonly estimated at about 10% of the total direct cost of a chemical plant.
Correct answer: 10- A. Total cost considerations (pumping cost plus fixed cost of the pipe)
- B. Density of the fluid
- C. Viscosity of the fluid
- D. None of these
Explanation: The economic diameter minimizes total annual cost by balancing the pipe's fixed or installation cost against pumping cost.
Correct answer: Total cost considerations (pumping cost plus fixed cost of the pipe)- A. 0.1
- B. 0.6
- C. 0.2
- D. 0.8
Explanation: The six-tenths rule is written as cost proportional to capacity raised to the 0.6 power.
Correct answer: 0.66574. Which of the following is not a component of the working capital for a chemical process plant ?
- A. Product inventory
- B. In-process inventory
- C. Minimum cash reserve
- D. Storage facilities
Explanation: Working capital includes inventories and cash needed for routine operation, such as product and in-process inventories and a minimum cash…
Correct answer: Storage facilities- A. 5 years
- B. 7 years
- C. 12 years
- D. 10 years
Explanation: The operating payback period is Rs. 100 lakhs divided by Rs. 20 lakhs per year, or 5 years.
Correct answer: 7 years- A. Rate of return on investment
- B. Cash reserve
- C. Payout period
- D. Discounted cash flow based on full life performance
Explanation: Cash reserve is a component of working capital, not a profitability-evaluation method.
Correct answer: Cash reserve- A. Thermal
- B. Nuclear
- C. Hydroelectric
- D. Fast breeder reactor
Explanation: Hydroelectric plants have no fuel cost and generally require relatively low operating and maintenance expenditure after construction.
Correct answer: Hydroelectric- A. Contingencies
- B. Raw material costs
- C. Labour costs
- D. Onsite and offsite costs
Explanation: Direct fixed capital is grouped into onsite costs for the process facilities and offsite costs for supporting facilities and utilities.
Correct answer: Onsite and offsite costs- A. Loss due to accident/breakdown in the machinery
- B. Loss due to obsolescence of the equipment
- C. Loss due to decrease in the demand of product
- D. Repairs and maintenance cost
Explanation: Depreciation represents loss in an asset's value from causes such as obsolescence, wear, and accidental damage.
Correct answer: Repairs and maintenance cost- A. And economic life of a project are the same
- B. Is the length of time over which the earnings on a project equals the investment
- C. Is affected by the variation in earnings after the recovery of the investment
- D. All A, B. and C
Explanation: The payback period is the time required for a project's cumulative earnings or cash inflows to recover its initial investment.
Correct answer: Is the length of time over which the earnings on a project equals the investment