Class BE Chemical

Subject: Process Engineering and Chemical Plant Design

1. Which of the following is the cheapest material of construction for the storage of sodium
hydroxide up to a concentration of 75%?
(A) Stainless steel
(B) Plain carbon steel
(C) Nickel
(D) Copper

2. Which of the following relationship is not correct is case of a chemical process plant?
(A) Manufacturing cost = direct product cost + fixed charges + plant overhead costs
(B) General expenses = administrative expenses + distribution & marketing expenses
(C) Total product cost = manufacturing cost + general expenses
(D) Total product cost = direct production cost + plant overhead cost

3. A balance sheet for a chemical plant shows its financial condition at any given date. It does not
contain the __________ of the plant.
(A) Current asset
(B) Current liability
(C) Long term debt
(D) Profit
Answer: Option D

4. Which of the following is a component of working capital investment?

(A) Utilities plants
(B) Maintenance and repair inventory
(C) Process equipments
(D) Depreciation

5. Which of the following is the costliest source of getting hydrogen on commercial scale for the
manufacture of nitrogenous fertilizer?
(A) Coal gasification
(B) Steam reforming of naphtha
(C) Electrolysis of water
(D) Coke oven gas

6. Pick out the wrong statement.

(A) Longer tubes are less expensive per unit heat transfer area as compared to shorter tubes
(B) A cost index is merely a number for a given year showing the cost at that time relative to a
certain base year
(C) Turnover ratio of a chemical plant is the ratio of gross annual sales to the fixed capital
investment
(D) Plates with butt welded joints are less expensive compared to lap welded joints, because
squaring of plates is not necessary

7. If an amount R is paid at the end of every year for 'n' years, then the net present value of the
annuity at an interest rate of 'i' is
(A) R [{(1 + i)n - 1}/ i ]
(B) R [{(1 + i)n - 1}/ i (1 + i)n]
(C) R (1 + i)n
(D) R/(1 + i)n

8. Pick out the wrong statement.

(A) The annual depreciation rate for machinery and equipments in a chemical process plant is
about 10% of the fixed capital investment
(B) Annual depreciation rate of buildings in a chemical plant is about 3% of its initial cost
(C) Insurance rates on annual basis in a chemical plant may be about 1% of the fixed capital
investment
(D) In a chemical industry, research and development cost amounts to about 15% of net sales
realisation (NSR)

9. Which of the following does not come under the sales expenses for a product of a chemical
plant?
(A) Advertising
(B) Warehousing
(C) Legal fees
(D) Customer service

10. Operating profit of a chemical plant is equal to

(A) Profit before interest and tax i.e., net profit + interest + tax
(B) Profit after tax plus depreciation
(C) Net profit + tax
(D) Profit after tax

11. Which of the following is not a current asset of a chemical company?

(A) Inventories
(B) Marketable securities
(C) Chemical equipments
(D) None of these

12. _________ taxes are based on gross earnings.

(A) Property
(B) Excise
(C) Income
(D) Capital gain

13. A balance sheet for an industrial concern shows

(A) The financial condition at any given time
(B) Only current assets
(C) Only fixed assets
(D) Only current and fixed assets

14. Pick out the wrong statement.

(A) Gross revenue is that total amount of capital received as a result of the sale of goods or
service
(B) Net revenue is the total profit remaining after deducting all costs excluding taxes
(C) The ratio of immediately available cash to the total current liabilities is known as the cash
ratio
(D) Consolidated income statement based on a given time period indicates surplus capital and
shows the relationship among total income, costs & profit over the time interval

15. Pick out the correct statement.

(A) Difference between income and expense is termed as gross revenue
(B) Unamortised cost is the difference between the original cost of a property and all the
depreciation charges made to date
(C) Sum-of-the-years-digits methods of depreciation calculation accounts for the interest on the
investment
(D) Scrap value is the net amount of money obtainable from the sale of used property over and
above any charges involved in its removal & sale

All Answers
01. Answer: Option B 02. Answer: Option D 03. Answer: Option D 04. Answer: Option B 05.
Answer: Option C 06. Answer: Option D 07. Answer: Option B 08. Answer: Option D 09.
Answer: Option C 10. Answer: Option A 11. Answer: Option C 12. Answer: Option C 13.
Answer: Option A 14. Answer: Option B 15. Answer: Option B

16. Which of the following is not a phase of project management?

a) Project planning
b) Project scheduling
c) Project controlling
d) Project being

Answer: d
Explanation: There are three phases of project management. These are project planning, project
scheduling and project controlling. Project management refers to a highly specialised job to
achieve the objectives of a project.
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17. Who introduced the bar charts?

a) Williams henry
b) Henry Gantt
c) Jane Gantt
d) Joseph henry
Answer: b
Explanation: Henry Gantt introduced the bar charts around 1900 A.D. They give pictorial
representation in two dimensions of a project by breaking it down into numerous manageable
units.
18. Bar charts were modified later to obtain the milestone charts.
a) True
b) False
Answer: a
Explanation: The various tools or techniques used for project management are bar charts,
milestone charts and network diagrams. Bar charts were modified later to obtain the milestone
charts.
19. The full form of PERT is _______
a) Program Evaluation and Rate Technology
b) Program Evaluation and Robot Technique
c) Program Evaluation and Robot Technology
d) Program Evaluation and Review Technique
Answer: d
Explanation: There are various network techniques which are called by various names like
PERT, CPM, TOPS and LESS. Network technique is one of the major advancements in
management science. The full form of PERT is Program Evaluation and Review Technique.
20. The full form of CPM is ______
a) Critical Path Method
b) Control Path Method
c) Critical Plan Management
d) Control Path Management
Answer: a
Explanation: The full form of CPM is the Critical Path Method. CPM networks are mainly used
for those projects for which a fairly accurate estimate of time of completion can be made for
each activity.
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21. In bar charts, which colour is used to show the actual progress?
a) Red
b) Black
c) Blue
d) Green
Answer: d
Explanation: In bar charts, different colours are sometimes filled in the bars for showing various
control information. For actual progress, green colour is used. For anticipated progress, black
colour is used and for progress behind schedule, red colour is used.
22. A PERT network is activity-oriented while a CPM network is event-oriented.
a) True
b) False
Answer: b
Explanation: A CPM network is activity-oriented while a PERT network is event-oriented. Event
is the completion of an activity or the commencement of an activity. An event may be head
event, tail event or dual role event.
23.. _________ are used to represent activity in a network diagram.
a) Circles
b) Squares
c) Rectangles
d) Arrows
Answer: d
Explanation: A network is a flow diagram which consists of events and activities which are
connected sequentially and logically. Arrows are used to represent activity in a network diagram.
Events are generally represented by circles.
24. The shortest possible time in which an activity can be achieved under ideal circumstances is
known as ________
a) Pessimistic time estimate
b) Optimistic time estimate
c) Expected time estimate
d) The most likely time estimate
Answer: b
Explanation: There are three kinds of time estimates made by PERT planners. These are the
optimistic time estimate, the pessimistic time estimate and the most likely time estimate. The
shortest possible time in which an activity can be achieved under ideal circumstances is known
as the optimistic time estimate.
25. According to the time estimates made by the PERT planners, the maximum time that would
be needed to complete an activity is called as ______
a) The most likely time estimate
b) Optimistic time estimate
c) Pessimistic time estimate
d) Expected time estimate
Answer: c
Explanation: According to the time estimates made by the PERT planners, the maximum time
that would be needed to complete an activity is called the pessimistic time estimate. This
estimate does not include possible effects of floods, earthquakes etc.
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26. In a network, a critical path is the time-wise shortest path.
a) True
b) False
Answer: b
Explanation: In a network, a critical path is the time-wise longest path. The critical path in the
Critical Path Method plays an essential role in scheduling and planning.
27. The difference between the maximum time available and the actual time needed to perform
an activity is known as _________
a) Free float
b) Independent float
c) Total float
d) Half float
Answer: c
Explanation: The difference between the maximum time available and the actual time needed to
perform an activity is known as the total float. Hence, the total float is the excess of the
maximum available time throughout the time of the activity

28. Tray efficiency correspondingly depends upon?

a) Column Diameter
b) Column throughput
c) Column length
d) Column feed
Answer: b
Explanation: Tray efficiency depends upon column throughput and velocity depends upon the
Column Diameter.
29. When a minor fraction of liquid flows to the tray below through the tray perforations it is
called
a) Weeping
b) Dumping
c) Entrainment
d) Feeding
Answer: a
Explanation: During weeping, a minor fraction of liquid flows to the tray below through the tray
perforations.
30. When distillate contains highest possibility of light key, D/F approaches
a) Infinity
b) Zero
c) Unity
d) Double
Answer: c
Explanation: When distillate contains highest possibility of light key D/F approaches Unity and
lowest when D/F approaches Zero.
31. At higher recovery _____ distillate is produced.
a) Low
b) More
c) Finite
d) Unwanted
Answer: b
Explanation: At higher recovery ¬¬¬¬More distillate is produced but of lower purity. At a lower
recovery the relation follows an inverse character.
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32. The vertical D/F line indicated the
a) Maximum impurity level
b) Minimum impurity level
c) More separation
d) Less separation
Answer: a
Explanation: The vertical D/F line indicated the Maximum impurity level at that point on the
curve, and this should has to be minimized for better operations.
33. The material balance optimization is also referred as
a) L V optimization
b) B D optimization
c) D B optimization
d) V L optimization
Answer: c
Explanation: D B is optimization at a fixed recovery and L V optimization is done for the
matching of feed rates.
34. Raising the column pressure, results in
a) Lower relative volatility
b) Higher relative volatility
c) No effect
d) Higher boiling point
Answer: a
Explanation: The unfavorable effects of raising column pressure is that it lowers relative
volatility and thus discarding the products formation.
35. What does DCF represents?
a) Distillation Corp Factor
b) Damping Correction Factor
c) Down Comer Flow
d) Discounted Cash flow
Answer: d
Explanation: DCF is used for estimating payout period, while down comer flow is a physical
quantity of column.
36. What does RVP Stands For?
a) Reid Vapor pressure
b) Reflux vapor pressure
c) Reid Viscous Parameter
d) Right Vary Parameter
Answer: a
Explanation: It is a physical property representing Reid Vapor pressure, while for performing
reflux operations the Reflux vapor pressure is considered.
37. Energy balance optimization is a prime factor for setting
a) Operations
b) Cost
c) Reflux
d) Feed
Answer: b
Explanation: Unlike Material balance optimization, Energy balance optimization can be used for
the setting of a distillation column.

38.At breakeven point there is

1) Profit
2) Loss
3) No profit or loss
4) None of these
(Ans:c)

39. At breakeven point

1) Total expenses = Total revenue
2) Total expenses > Total revenue
3) Total expenses < Total revenue
4) Any of the above
(Ans:a)

40. In any organization, profits depends mainly upon

1) Production cost
2) Production output
3) Revenue
4) All of the above
(Ans:d)

41. There are various methods to reduce cost of production, except

1) Increase in production output
2) Reduction in number of rejections
3) Maintaining maximum inventory levels
4) Producing standardized products
(Ans:c)

42. The following assumptions are made in case of break even analysis, except
1) All fixed costs are fixed
2) All variable costs are fixed
3) The prices of input factors are constant
4) Volume of production and volumes of sales are equal
(Ans:b)

43. The breakeven point is obtained at intersection of

1) Total revenue and Total cost line
2) Total cost and variable cost line
3) Variable cost and fixed cost line
4) Fixed cost and total cost line
(Ans:a)

44. Margin of safety is equal to

1) Actual sales – Sales at Breakeven point
2) Actual sales + Sales at Breakeven point
3) Actual sales x Sales at Breakeven point
4) Actual sales / Sales at Breakeven point
(Ans:a)
45. Contribution per unit is equal to
1) Selling price per unit – variable cost per unit
2) Selling cost per unit + variable cost per unit
3) Selling cost per unit x variable cost per unit
4) Selling cost per unit / variable cost per unit
(Ans:a)

46. The quantity required to have desired profit is

1) (Fixed cost + Desired profit)/Contribution per unit
2) (Fixed cost – Desired profit)/Contribution per unit
3) (Fixed cost x Desired profit)/Contribution per unit
4) Fixed cost / (Desired profit x Contribution per unit)
(Ans:a)

47. An industry is selling a product for Rs. 10 per unit. The fixed cost for assets is Rs. 40000
with variable cost of Rs. 6 per unit. How many units should be produced to break even?
1) 8,000
2) 10,000
3) 12,000
4) 14,000
(Ans:b)

48. The data for an industrial unit is as follow:

Fixed costs of assets = Rs. 20,000

Sales price per unit = Rs. 8

Variable cost= Rs. 60,000

Contribution for 6000 units = Rs. 12,000

The sales volume for breakeven is

1) 8,000
2) 10,000
3) 12,000
4) 14,000
(Ans:b)

49. Based on the important category, concrete and fibre glass are the examples of ___________
a) Ceramics
b) Polymers
c) Composites
d) Semi-conductors
Answer: c
Explanation: Example of ceramic are Al2O3 and ZrO2, Polymers are Thermoplastic and
Thermosets, Composites are Fibre glass and Concrete and Semi-conductors are Silicon and
Germanium.
50. Which of the following is not an inorganic functional material?
a) Ferroelectric
b) Reverse micelles
c) Magnetic field sensor
d) Light detectors
Answer: b
Explanation: Reverse micelles is an organic functional material.
50. Which of the following is not an aerospace material?
a) Plastics
b) Silica
c) Aluminium alloys
d) Polymers
Answer: d
Explanation: Polymers are not categorized under aerospace materials.
51. Select the incorrect statement from the following option.
a) Metals are extremely good conductors of heat and electricity
b) The properties of metal degrade rapidly with temperature
c) Metals have poor corrosion resistant
d) A polished metal surface has a dull appearance
Answer: d
Explanation: A polished metal surface has a lustrous appearance. All the other options are
correct. Metals are extremely good conductors of heat and electricity, its properties degrade
rapidly with temperature and have poor corrosion resistance.
52. Which one of the following is the best heat and corrosion resistant material?
a) Metals
b) Ceramics
c) Polymers
d) Semi-conductors
Answer: b
Explanation: Ceramics materials generally consist of oxides, nitrides, carbides, silicates or
borides of various metals. Their heat and corrosion resistance is best compared to metals and
polymers.
53. Polymers are used in the chemical industry because of their ___________
a) Inert nature
b) Light weight
c) Low cost
d) Easiness in fabricability
Answer: a
Explanation: Polymers are used in the chemical industry because of their inert nature.
54. Select the incorrect statement from the following option.
a) Composites are optically opaque materials
b) Carbon fiber reinforced composite materials are not used in space vehicles
c) Re-cyclability of composite material is poor
d) Processing of composite material is difficult
Answer: b
Explanation: Carbon fiber reinforced composite materials are used in space vehicles. All the
other options are correct. Composites are optically opaque materials, re-cyclability of composite
material is poor and its processing is difficult.
55. Which type of material expands and contract in response to an applied electric field?
a) Advanced material
b) Smart material
c) Biomaterial
d) Nanomaterial
Answer: b
Explanation: Smart materials(Piezoelectric) expand and contract in response to an applied
electric field(or voltage).
56. Which one of the following is non-linear material?
a) Zirconium oxide
b) Magnetite
c) Maghemite
d) Lithium niobate
Answer: d
Explanation: Lithium niobate is a non-linear material used for telecommunication.

57. Which of the following is not an application of nanomaterials?

a) TV and computer monitors
b) Cardiology
c) Magnetic Resonance Imaging (MRI)
d) Sunscreens and fuel cells
Answer: b
Explanation: Cardiology is not an application of nanomaterials. TV and computer monitors,
Magnetic Resonance Imaging (MRI) and sunscreens and fuel cells are some of the applications
of nonmaterial

58. Which of the following methods of depreciation calculations results in book values greater
than those obtained with straight line method ?
A. Multiple straight line methodB. Sinking fund method
C. Declining balance methodD. Sum of the years digit method
Answer : Option B
59. Relative cost of chemical process plants in India is about __________ percent more than the
similar plants in U.S.A.
A. 15 B. 35
C. 55 D. 75
Answer : Option B

60. A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years.
The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value
of the reactor after 5 years using sinking fund depreciation method will be Rs.
A. 40096 B. 43196
C. 53196 D. 60196
Answer : Option D