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Plant Design & Economics
Cost Estimation
GATE 2011
Medium

A continuous fractionator system is being designed. Fixed costs: column Rs 6×10⁶, condenser Rs 2×10⁶, reboiler Rs 4×10⁶. Operating costs: condenser cooling water Rs 8×10⁶/yr, reboiler heating steam Rs 1×10⁶/yr. The annualised fixed charge is 15% of the fixed cost. The total annualised cost (in Rs.) is

  • 10.8×10⁶
  • B13.35×10⁶
  • C15.9×10⁶
  • D3.15×10⁶

Explanation

Total fixed cost=6+2+4=12×10⁶. Annualised fixed charge=0.15×12×10⁶=1.8×10⁶/yr. Operating cost=8×10⁶+1×10⁶=9×10⁶/yr. Total annualised cost=1.8×10⁶+9×10⁶=10.8×10⁶ Rs.

Source: GATE CH 2011 (2011)

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