ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.27 : A biochemical engineering consultancy applies construction accounting in its finance. Its project began on 1 January 2010. Total revenue generated from the project was $9000. On 1 January 2011 as the budget, $2000 had been spent, with $6000 expected. However, the project cost increased latter, causing deviation from its initial budget on 1 January 2012, where $7000 had been spent, with $1400 expected. Let (estimated total cost) = (spent cost) + (expected cost to be spent), (percentage completion) = 100 (spent cost) / (estimated total costs), (total expected profits) = (total revenue) - (estimated total costs). Calculate : (a) total expected profits on 1 January 2011 and 1 January 2012; (b) estimated total cost as and not as the budget; (c) percentage completion of the project since the project began, in the first and second years.
- 1 Answers
- 1176 Views
- I also Faced
- E-Mail Answers
ACCOUNTING AND FINANCIAL ENGINEERING - ANSWER 34.27 : On 1 January 2011 (as the budget), estimated total costs = $2000 + $6000 = $8000, total expected profits = $9000 - $8000 = $1000, percentage completion on first year = 100 ($2000 / $8000) = 25%. On 1 January 2012 (not as the budget), estimated total costs = $7000 + $1400 = $8400, total expected profits = $9000 - $8400 = $600, percentage completion on second year = 100 ($7000 / $8400) = 83.33%. Final answer : (a) Profits : $1000 (1 January 2011), $600 (1 January 2012). (b) Costs : $8000 (as the budget), $8400 (not as the budget). (c) Percentage completion : 25% (first year), 83.3% (second year). The answer is given by Kang Chuen Tat; PO Box 6263, Dandenong, Victoria VIC 3175, Australia; SMS +61405421706; chuentat@hotmail.com; http://kangchuentat.wordpress.com.
| Is This Answer Correct ? | 0 Yes | 0 No |
What factors go into designing the vapor space of kettle type reboiler?
EXAMPLE 34.14 : For a formula of y = [ 1 - 1 / (1 + r) ^ n ] / r, let y = present value, r = interest rate / year, n = number of years to future value of 1 : (a) Find a simple mathematical relationship of y as a function of r when n = 1 million years. (b) What is the present value of $10000, if the annual discount rate is 10 %, forever?
What is the import procurement cycle? What are the customization steps in sap?
Question 102 - (a) As an approximation, let v = Zc / 137 where v is the radial velocity for 1 s electron of an element, c is the speed of light, Z is the atomic number. For gold with Z = 79, find the radial velocity of its 1 s electron, in term of c and percentage of the speed of light. (b) As an approximation, let A x A = 1 - Z x Z / 18769 where A is the ratio of the relativistic and non-relativistic Bohr radius. Find the value of A.
What information is needed to specify a mixer?
What is the pattern of interview questions and which field is of high importance viz., Mass Transfer, Heat Transfer, Petroleum Refining etc ?
2 Answers Cairn, IOCL, Reliance,
How can you separate hydrogen peroxide into hydrogen and oxygen?
ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.28 : In the development of a small engineering facility for biochemical processing, completed contract method is applied in its construction accounting. In a short contract period, let the (contract price) = A. Let the (costs to date) = B; (estimated cost to complete) = C. (a) Find the values of : (i) estimated total costs; (ii) total estimated profit; (iii) percent completion to date. (b) If the project contract is 100 % completed : (i) find the total gross profit recognized; (ii) what is the exact numerical value of C?
What is the process of Scrubber ?
Calculate the cooling duty, H required to condense and cool acetone from 100 degree Celsius to 25 degree Celsius at atmospheric pressure. The heat of vaporization for acetone at its normal boiling point is 30.2 kJ / mol. The boiling point of acetone at atmospheric pressure is 56 degree Celsius. The flowrate of acetone through the condenser is 100 mol / s = N. Value of sensible heat needed to increase the temperature of acetone in liquid form from 25 to 56 degree Celsius is 4.06 kJ / mol. Value of sensible heat needed to increase the temperature of acetone in vapor form from 56 to 100 degree Celsius is 3.82 kJ / mol. Unit of H is kJ / s.
ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.7 : An engineering investor purchases a $1000 bond that matures in 25 years. The coupon rate is 8 %. The purchase price is at 95 or 95 % of the par bond value. (a) What is the purchase price of the bond? (b) How much discount is enjoyed by the investor on average each year? (c) Find the income generated from coupon rate each year. (d) Find the overall interet rate or Yield to Maturity (YTM) by using the formula : YTM = [ Answer in (c) + Answer in (b) ] x 200 / [ par bond value + Answer in (a) ].
Hallow everybody, we want to know in a NPk fertilizer process plant (Bulk Blender) we are in doubt if use square or rectangular hopper jus to avoid the vault effect durin the flow of of raw material like Phosphorus, Potasium and zeolite..Please any advise will be appresated Isdray
-
Civil Engineering (5085) - Mechanical Engineering (4451)
- Electrical Engineering (16632)
- Electronics Communications (3918)
- Chemical Engineering (1095)
- Aeronautical Engineering (239)
- Bio Engineering (96)
- Metallurgy (361)
- Industrial Engineering (259)
- Instrumentation (3014)
- Automobile Engineering (332)
- Mechatronics Engineering (97)
- Marine Engineering (124)
- Power Plant Engineering (172)
- Textile Engineering (575)
- Production Engineering (25)
- Satellite Systems Engineering (106)
- Engineering AllOther (1379)
