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Posted By: santosh kumar kanugula Member Level: Gold Posted Date: 29 Jun 2008
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2007 Jawaharlal Nehru Technological University B.Tech Chemical engineering CHEMICAL ENGINEERING PLANT DESIGN & ECONOMICS Question paper
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Code No: RR410803 Set No. 1
IV B.Tech I Semester Supplementary Examinations, February 2007
CHEMICAL ENGINEERING PLANT DESIGN & ECONOMICS
(Chemical Engineering)
Time: 3 hours Max Marks: 80
Answer any FIVE Questions
All Questions carry equal marks
? ? ? ? ?
1. Explain the steps involved in the evolution of a Chemical process. [16]
2. Discuss about water pollution abatement being one of the important considerations
in plant design. [16]
3. Write in detail about the following methods for estimating capital investment
(a) Detailed-item estimate. [4]
(b) Unit-cost estimate. [6]
(c) Percentage of delivered-equipment cost. [6]
4. (a) Derive the expression for capitalized cost for continuous interest compounding.
[6]
(b) A standard type of heat exchanger with a negligible scrap value costs Rs.
4000 and will have a useful life of 6years. Another proposed heat exchanger of
equivalent design capacity costs Rs. 6800 but will have a useful life of 10 years
and a scrap value of Rs. 800. Assuming an e ective compound interest rate of
8 percent per year, determine which heat exchanger is cheaper by comparing
the capitalized costs. [10]
5. Write short notes on
(a) Exercise Taxes. [3x3=9]
Property Taxes.
Income Tax Return.
(b) What are tax exemptions usually available to manufacturing companies? Dis-
cuss them in detail. [7]
6. An investment of Rs 10,00,000 gives following annual returns over a life of 5 years.
Assume straight-line depreciation, negligible salvage value and 34% income taxes.
What is the depreciation, taxable income, taxes and annual cash flow for the fol-
lowing cases:
(a) no inflation and annual returns of Rs 3,00,000 each year before taxes? [8]
(b) inflation rate of 7% and a situation where the increase in profits due to inflation
is also at an annual rate of 7% so the annual returns remain at the equivalent
of Rs 3,00,000 in zero time rupees before taxes. [8]
1 of 2
Code No: RR410803 Set No. 1
7. Discuss Rate of return based on the discounted cash flow with a suitable example.
- [16]
8. A solvent extraction operation is carried out continuously in a plate column with
gravity flow. The unit is operated 24 hrs/day. A feed rate of 45000 lit/day must
be handled 300 days per year. The allowable velocity per sq.meter of tower cross-
sectional area is 12,000 lit. of combined solvent and charge per hr. The annual
fixed costs for the installation can be predicted from the following equation:
CF = 88000F2 - 510000 F + 1100000 Rs/year
Where F = lit. of solvent per lit. of feed. Operating and other variable costs are
Rs.0.4 per each lit. of solvent passing through the tower. What diameter should
be used for optimum conditions of minimum total cost per year? [16]
? ? ? ? ?
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