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GATE Plant Design and Economics: Depreciation, rate of return, payback period and discounted cash flow – Previous Year Questions

9 GATE previous year questions on Depreciation, rate of return, payback period and discounted cash flow (Plant Design and Economics, Chemical Engineering) with answers and explanations, from every paper.

  1. GATE 2022 CH Q35 (1 mark, Numerical answer) – A compressor with a life of 10 years costs Rs 10 lakhs. Its yearly operating cost is Rs 0.5 lakh. If the annual compound interest rate is 8%, the…
  2. GATE 2022 CH Q61 (2 marks, Numerical answer) – Information for a proposed greenfield project is provided in the table. The discounted cash flow for the fourth year is Rs crores (rounded off to one…
  3. GATE 2023 CH Q63 (2 marks, Numerical answer) – A design engineer needs to purchase a membrane module (M) for a plant. Details about the two available options, M1 and M2, are given in the table…
  4. GATE 2023 CH Q65 (2 marks, Numerical answer) – Pumps A and B are being considered for purchase in a chemical plant. Cost details for these two pumps are given in the table below. The interest rate…
  5. GATE 2024 CH Q35 (1 mark, Numerical answer) – The capital cost of a distillation column is Rs. 90 lakhs. The cost is to be fully depreciated (salvage value is zero) using the double-declining…
  6. GATE 2024 CH Q49 (2 marks, Multiple choice) – For purchasing a batch reactor, three alternatives P, Q and R have emerged, as summarized in the table. For a compound interest rate of 10% per annum,…
  7. GATE 2025 CH Q63 (2 marks, Numerical answer) – It is proposed to install thermal insulation in a residence to save on the summer-monsoon season air-conditioning costs. The estimated yearly saving…
  8. GATE 2026 CH Q29 (1 mark, Multiple select) – Which of the following methods for calculating profitability does/do NOT consider the time value of money?
  9. GATE 2026 CH Q46 (2 marks, Multiple choice) – In a certain project, 15% of the total investment is the working capital. The minimum acceptable rate of return is 4.95% and the period of evaluation…