Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

Management Project Economic Analysis - Essay Example

Comments (0) Cite this document
The writer of this paper seeks to summarize the project aimed at getting pure Cumene at a rate of 1300 lbmole/hr while using a feedstock of pure benzene and propylene. In this case, combining Benzene with Propylene results in the attainment of Cumene…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER94.5% of users find it useful

Extract of sample "Management Project Economic Analysis"

Management summary This project aimed at getting pure Cumene at a rate of 1300 lbmole/hr while using a feedstock of pure benzene and propylene. In this case, combining Benzene with Propylene results in the attainment of Cumene. The process has a byproduct of poly-di-isopropyl-benzene, which is easily separated by fractionation section. The byproduct is produced by an additional reactor. In order to attain a lower cost and higher purity, recycle streams is used in the process. Further, temperature regulation is essential since the reaction occurs at high temperatures.
With reference to economic analysis, FCI has a total of 16.53 M$ that comprises of 14.53 M$ ISBL and 2.0 M$ OSBL. As such, cash flow statement indicates that the payments will be rendered to full amounts within three years. Both the furnace and heat exchanger use ISBL while the feed tank uses OSBL. The impact of net present value (NPVO) on CumCF in a period of 3.2 years is 150.72 M$ and NPV 12 at an interest of 15% is 552.46 M$. The IRR is 24.28 % at a payback of 3.2 years, which implies that this project is viable and profitable.
Considering economic sensitivities, FCI changes because of utilities and product price. From the information gathered, this project is profitable since the involved product is worth and FCI is low in terms of the cost of product and raw material. Quantitative comparison indicates that changes in product price and FCI are critical and sensitive.
In conclusion, this project is sensitive to product price changes, as well as FCI changes. However, the project is viable and profitable. Nevertheless, there is a need to gather economic information on Cumene price changes and establish the demand of the product. For now, there is a need to increase the production rate of the product. Read More
Cite this document
  • APA
  • MLA
(“Management Project Economic Analysis Essay Example | Topics and Well Written Essays - 250 words”, n.d.)
Retrieved from
(Management Project Economic Analysis Essay Example | Topics and Well Written Essays - 250 Words)
“Management Project Economic Analysis Essay Example | Topics and Well Written Essays - 250 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Management Project Economic Analysis

Economic Analysis

...? The article that I have chosen to analyze is en d “Political Pressure Wouldn’t Halt More Fed Easing” written by Scott Lanman and published lastOctober 5, 2011 in Bloomberg. Federal Reserve Chairman indicated that he would continue to use monetary policies to stimulate economic activity, which is primarily reflected upon interest rates. This is amidst the probable recession for the US due to its debt debacle and credit downgrading which triggered a panic-stricken market. As many economists have already noted, the leading indicator for a recession, or a downturn of the US economy is the growth of Gross Domestic Product (GDP). GDP is the increase in the amount of goods and services produced by an economy over time....
4 Pages(1000 words)Essay

Economic analysis

...operations and at individual levels so as to save more money for necessary projects. Using Bastiat’s arguments, we can carry out an economic analysis of the major world economies today as well as at the local levels. Most countries in the world today are most concerned with the seen things that, as Bastiat says, bear notable negative consequences for the economy of the contrary. Almost all countries of the world are today much concentrated on the operation to build up their arms at the expense of building their own economies. Border protection mechanisms are the central focus for most countries, and the reinforcement of their armies is a major source of the government’s expenditures –...
10 Pages(2500 words)Book Report/Review

Project Management Assignment: Project Analysis

...? Project Analysis of the INCIS Fiasco in NZ Police Force s of College Project Management of Information Systems Development and Deployment is a very strenuous task and becomes difficult when it is managed solely by business users and non-technical users of that proposed system. This report is based on the project analysis of the INCIS Fiasco, the idea of which was proposed by the New Zealand Police Force. The idea was to implement a compact Information System solution that would revolutionise the working mechanism of the police force. Although, the idea coined initially was fair enough to be turned into reality, however,...
10 Pages(2500 words)Assignment

Economic Analysis Project

...?Running Heading: Applied Economic Analysis Applied Economic Analysis “Applied Economic Analysis of the Current Outlook of Overall Economy of United States of America” INTRODUCTION AND DESCRIPTION OF THE ISSUE: The impact of recent economic recession has been experienced by almost every other economy of the world. Different countries have been coming up with different policies and strategies in order to recover from one of the worst economic downturn. Economy of United States of America has been under serious issues and problems after the economic recession and is still experiencing...
5 Pages(1250 words)Research Paper

Economic analysis

...? Macro & Micro economics Table of Contents 0 Article Summary 3 2.0 Introduction 3 3.0 Analysis 4 3 Monetary policy 4 3.2 Fiscal Policy 6 3.3 Structural growth in the economy 7 4.0 Conclusion 8 References 10 1.0 Article Summary The article by the title “India cuts interest rates for third time this year” has been published online in the BBC News on 3rd May 2013. The report says that the Reserve Bank of India (RBI) has reduced interest rates in the country from 7.50 percent to 7.25 percent with the aim of introducing fresh waves of economic growth in the economy in the face of sluggish economic growth. It is also reported that the RBI cannot freely embark on such...
6 Pages(1500 words)Essay

Economic analysis

...and unemployment is in the short run, which leads to a trade off between the two undesirables. The trade off, which has been summarised in to the Phillip’s curve shows that since the invention of economics, there has been an inverse relationship between unemployment and inflation where, when inflation is low, the rate of unemployment is high and when the rate of inflation is high, the levels of unemployment are low. Government policies that are designed to lower the levels of unemployment, for instance, during recession will usually lead to increased rates of inflation in the short run while policies that are designed to lower the rates of inflation, especially during the boom cycle will most likely increase the levels...
6 Pages(1500 words)Essay

Economic Analysis

...Economic Analysis: Question one Determining the level of labour and capital that maximises profits: Capital and labour are used in the production process and they are referred to as factors of production, however the unit cost of capital and labour sometimes differs and therefore firms have to make decisions on what quantities of capital and labour are required in order to reduce the cost of production which in turn will lead to increasing the profit levels. The cost of labour and capital are the most important things to consider when one to determine the quantities of both, when the cost of capital is higher than the cost of labour then we substitute capital for labour and if the cost of labour is higher...
4 Pages(1000 words)Research Paper

Economic analysis

...Economic Analysis This paper analyzes the article called “Ample supplies keep durum prices in check” that was written by Mark Conlon on 24th of March, 2010 for the “The Prairie Star.” The article basically is about the prices of durum in the year 2009 and also the expected prices in the year 2010. The purpose of the essay is to elaborate upon the economic theories used in the article. Also, the paper analyzes the different economic situations by the means of graphs. The main theme of the article is that the prices of durum have been consistent throughout the year 2009 despite the fact that demand has risen1. In normal circumstances, keeping other things constant (ceteris paribus), as the demand rises (the supply is held... that the prices...
4 Pages(1000 words)Essay

Project Management Analysis

...Development of the SPOTIFY APP Research Paper Project Team s placed here College Enter the assignment submitted here Thispaper was prepared by the authors cited above College Name MGMT 714.A – Project Management, taught by Professor_________. SPOTIFY APP Research Paper Project Background In 1999, when piracy in music industry was at boom and people could easily access to any kind of music without paying anything, introduction of the new kind of services that can provide original sound tracks and require the people to pay for it may not sound attractive (ifpi, 2000). However, a 16 year old programmer who was...
29 Pages(7250 words)Research Paper

Economic analysis

...Economic Analysis s Economic Analysis Introduction In this article, the key issues discussed revolves around the effect of fiscal policy to the economy of US. Fiscal policy refers to the means by which the government adjusts its expenditure levels and tax rates so as to monitor and influence its economy. The aggregate supply and aggregate demand model are very crucial for analysis of the economy. This model analyses the supply of goods and services a nation can produce in a given period and the corresponding amounts of goods and services that will be purchased at all possible levels. The Fiscal policy is thus important since it has a stabilizing effect on...
2 Pages(500 words)Assignment
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Management Project Economic Analysis for FREE!

Contact Us