The purchase cost for equipment of a plant that produces urea (fluid plant) is 8,500,000RO. The plant is to be a new manufacturing plant. The engineering and supervision fees are done by the company. All other costs are close to the average values found for chemical processing plants. On the basis of this information, calculate the:

i) Total direct plant cost in $

ii) Fixed capital investment in $

iii) Total capital investment in $

 

Answer rating: 100% (QA)

To calculate the total direct plant cost we need to consider the purchase cost of equipment engineer... View the full answer