Final Flashcards
What is FCI
Fixed Capital Investment
What is TCI
Total Capital Investment
What is Direct Production Cost part of?
Product Cost (C)
Do you get back the money associated to depreciation?
No
Can your cumulative cash position be negative?
Yes
The cost of installing a pump (not purchasing it) is
Part of Direct Investment Cost
The Marshall and Swift index is used to adjust
Capital Cost by time
A pump has a cost of $14,000 and a scrap value of $2,000. What is the total depreciation?
$14,000 - $2,000 = $12,000
Cost - scrap value = depreciation
A plant cost is $3,000,000 in 2007. What is the cost in 2018 if the M&S indices are 1452.3 in 2007 and 1955.8 in 2018?
$3,000,000(1955.8/1452.3)=$4,040,074
A plant has a cost of $300,000 for a capacity of 100 ton/day. What is the cost of the plant for a capacity of 230 ton/day if the power is x=0.6?
$300,000(230/100)^.6 = $494,490
What is depreciation?
Loss of equipment value
What is straight line depreciation?
Equal depreciation each year
Depreciation does not last for as long as the plant does what?
Operates
Depreciation does/does not last forever?
Does not
(T/F) Depreciation lasts only one or two year?
False
(T/F) Depreciation is mandatory?
False
MACRS depreciation is what?
Double decline followed by straight line depreciation
When the cost exponent of capacity is less than 1, two equipment of equal size will cost what?
More than one of twice the size
What is money spent today to take raw material and covert it to a unit of product called?
Product cost
A pump has a cost of $14,000 and a scrap value of $2000. What is the depreciation using straight line method over 10 years?
($14,000-$2,000)/10 = $1,200
A pump has a cost of $14,000 and a scrap value of $2,000. What is the first year depreciation using double decline method calculated for a total of 10 years?
$12,000(1-(2/10))^1 = $9,600
$12,000 - $9,600 = $2,400
What is return of investment?
Net annual profit divided by TCI
What is the value today of future money?
Present worth
What is POT?
Pay Out Time
What is the present value of all net profits in the future minus TCI?
Net Present Worth
Why is ROI a disadvantage?
It considers all future net profit being the same value
What depends heavily on the interest rate used?
Net Present Worth
What do we call the interest rate that makes NPW=0
Effective
What is the time needed to get the TCI back?
Payout time
What reduces energy consumption?
Heat integration
What converts many hot or cold stream curves into one hot and one cold, respectively?
Composite curves
What is Pinch?
The smallest delta T than can take place anywhere
What should not be transferred across the pinch?
Heat
What is obtained by overlapping hot and cold composite curves?
Minimum heating utility
What increases cold utility by the same amount?
Increasing heating utility
What is spread over the number of years the IRS determines?
Depreciation
A pump has a cost of $14,000 and a scrap value of $2,000. What is the second year depreciation using double decline method for a total of 10 years?
$12,000(1-(2/10))^2=$7,680 second year
$12,000(1-(2/10))^1=$9,600 first year
$9,600-$7,680=$1,920
The net profit of an investment is $200,000/year for 10 years. does the ROI change if the net profit is also $200,000/15 years?
ROI = Net Profit/ TCI
Net profit is $200,000/year for 10 years = $2,000,000
Net profit is $200,000/year for 15 years = $3,000,000
Yes it will increase
The net profit of an investment is $200,000 /year, the capital is $1,000,000. What is the POT?
$1,000,000/($200,000/year)=5 years
What have rotating gears, lobes, or screws?
Rotary pumps
What pump does not have a large pressure head?
Centrifugal pumps
What is defined as discharge pressure minus suction pressure?
Total Dynamic Head (TDH)
What is equal to the volumetric flowrate * the total dynamic head?
?=Q*TDH
Hydraulic power of a pump
What is the difference between suction head and vapor pressure head?
NPHSA
What is provided by the manufacturer of a pump?
NPHSR
NPHSR has to be (greater/smaller) than NPHSA.
Smaller
Two equal pumps in a series have what?
Double the head
What has smaller head than one pump?
Two equal pumps in parallel
What can happen if NPHSA is zero?
The pump can cavitate
What prevent flow reversal?
Check valves
What are usually not used for control?
Gate valves
What have large pressure drops?
Control valves
Closing a control valve (increases/decreases) the pressure drop in a system.
Increases
Do rotary pumps have reduced outlet pressure?
No
Do rotary pumps have rotating casings?
No
Do rotary pumps have cavitation problems?
No
Do Centrifugal pumps work well with viscous fluids?
No
Can centrifugal pumps only handle small flows?
No
Do centrifugal pumps cavitate when the flow is too large?
No