Process Engineering Economics

Two machines have the following cost comparisons. If money worth is 8% which machine is more economical? 

Explain check list for the final report.

Discuss the types of design report .

Explain the importance of balance sheet with examples.

What is break even analysis? Explain with a neat diagram, the break-even chart used for chemical process plant. 

An existing plant has been operating in such a way that a large amount of heat is being lost in waste gases. It has been proposed to save money by recovering heat now being lost. Four different heat exchangers have been designed to recover the heat loss. Data has given for each heat exchanger design in table. The company in charge wants at least 16% annual return on initial investment Calculate which one of the four design should recommended. 

Fumace 'A' is costing Rs.1,00,000 with operating cost of Rs 35000 and service life of 10 years. Another furnace 'B' is available at the cost of Rs.180000 with operating cost of Rs.30000. The salvage value for both the furnace is Rs.12000. What service life would we required for fumace 'B' to warrant its selection instead of furnace A. Money is worth 10%. 

Define profitability. Mention various methods used for profitability evaluation. Explain anyone method. 

A reactor is purchased for Rs.1,00,000/- (1 lakh) and the estimated service life of 5 years with negligible scrap value. If the rate of interest on depreciable fund is 6%. Calculate the rate of depreciation by: i) Straight line method; ii) Sum of the years digit method and iii) Sinking fund method. Compare the results in table. 

Discuss and formulate an equation for straight line method and sinking fund method.

Discuss various factors to be considered to select suitable location to start distillery unit in Bengaluru.

Obtain a relationship between amount of an ordinary annuity and the periodic payment.

Define the following term:

ii) Nominal and effective interest

Define the following term:

i) Simple and compound interest

Cast iron foundry employs 30 person and it consumes material worth of Rs.1,00,000 (1 lakh) and pays workers at the rate of Rs.40/hr and incur total overhead of Rs. 10,000 in a month of 25 days, workers had an overtime of 150 hour and were payed at double their normal rate. Find the total cost considering 8 hours a working day. 

With neat diagram, explain cash flow for industrial operations.

Define cost index. Discuss William's sixth tenth factor.

Explain the objective of feasibility report and propose its format which covers the relevant factors.

Explain the importance of plant layout.