1. On what factors does the type of insurance purchase of a plant depend?
2. Why do some legislations have restrictions on capital allowance for purchases set against firm profits?
3. State the different types of leasing options and their advantages.
4. Briefly explain the factors involved in setting the hire rate for the operation of equipment while preparing a tender.
5. A machine costs $ 300,000 with a salvage value of $50,000 at the end of its life of 10 years. If money is worth 6% annually, use Sinking Fund Method and determine the depreciation at the 6^th year.

• Annual depreciation (A) = [ (FC -V) (i) ] / [ (1 + i)^(n) -1 ]
• Total depreciation after x years = A [(1 + i)^x - 1] / i

6. Describe carbon footprint and methods to control it?

7. What is Pert technique of planning and how is it different from the other technique?