ENGINEERING ECONOMY

Course Description

The purpose of this course is to provide an introductory basis for economic analysis in decision making process in engineering design, manufacturing equipment and industrial projects. This course aims to supplement engineering students with the knowledge and capability to perform financial analysis especially in the area of capital investment. It emphasizes the systematic evaluation of the costs and benefits associated with proposed technical projects. The student will be exposed to the concepts of the “time value of money” and the methods of discounted cash flow. Students are prepared to make decisions regarding money as capital within a technological or engineering environment. Assignments and homework help and guide the students to apply the knowledge acquired during the course.

ENGINEERING ECONOMY

Evaluation Tools (Active Term)

Course outcomes

1. 01 Recognize the fundamental concepts of engineering economy
2. 02 Apply engineering economy factors to account for the time value of money
3. 03 Analyze Service, revenue, mutually exclusive and independent alternatives
4. 04 Perform economic analysis of alternatives using present worth, annual worth, future worth and rate of return methods.
5. 05 Evaluate projects using rate-of -return and benefit/cost ratio methods
6. 06 Decide the level of activity necessary or the value of a parameter to breakeven.
7. 07 Combine the effects of inflation into an economic analysis whenever necessary

Course Syllabus

Reference Books & Course Materials

1. 01 Leland Blank and Anthony Tarquin "Basic of Engineering Economy" ,Mc Graw Hill, 1st edition, 2008.
2. 02 Leland Blank and Anthony Tarquin “Engineering Economy”, Mc Graw Hill, sixth edition, 2005.
3. 03 William G. Sullivan, Elin M. Wicks and James T. Luxhoj “Engineering Economy”, Thirteenth edition, Pearson Prentice-Hall, 2006.

Learning Outcomes

1. L01 Identify (2) and Explain (4) fundamental concepts of engineering economy SOLO 3
2. L02 Identify (2) and Generalize (5) engineering economy factors to account for the time value of money SOLO 3.5
3. L03 Explain (4) service, revenue, mutually exclusive and independent alternatives SOLO 4
4. L04 Explain (4) and generalize (5) economic analysis of alternatives using present worth, annual worth, future worth and rate of return methods. SOLO 4.5

Program Outcomes

1. P01 Demonstrate an understanding of the core subfields of psychology — including but not limited to clinical, developmental, cognitive, social, and biological/neuroscientific psychology — and their interconnections with other scientific disciplines, critically evaluating the value of a multidisciplinary approach to scientific inquiry in psychology.
2. P02 Apply scientific methods, research techniques, measurement and psychometric principles (e.g., reliability, validity, scale development/adaptation), and quantitative/statistical reasoning to investigate psychological phenomena, recognizing methodological strengths, limitations, common reasoning fallacies, and the flaws of pseudoscience.
3. P03 Employ logical, intuitive, and creative thinking to analyze psychological concepts, evaluate theories (including their historical and philosophical development), synthesize information, and solve complex problems related to cognition and behavior.
4. P04 Integrate psychological theories and findings into practical settings (e.g., business, policy, clinical/counseling contexts, and daily life), applying foundational applied skills such as interviewing, observation, and case formulation, drawing meaningful conclusions to inform individual, organizational, and societal practices.
5. P05 Describe key ethical principles in psychological research and practice, critically applying these principles to dilemmas across academic, professional, and everyday contexts.
6. P06 Recognize how individual differences (e.g., beliefs, values, backgrounds) impact behavior and relationships; use psychological knowledge to prevent or resolve intercultural and interpersonal conflicts and promote inclusive, respectful interactions.
7. P07 Exhibit self-regulation and self-awareness, demonstrating a commitment to psychological well-being, effective time management, constructive incorporation of feedback, and ongoing personal and professional development.
8. P08 Collaborate effectively in diverse teams, demonstrating responsibility, bias awareness, conflict resolution skills, and leadership in achieving collective goals.
9. P09 Communicate psychological knowledge clearly and appropriately for academic, professional, and public audiences using inclusive language, both in written and oral formats, and by accurately summarizing and presenting research findings.
10. P10 Use information and communication technologies (including AI and digital media) responsibly and effectively for research, collaboration, and the dissemination of psychological knowledge.
11. P11 Embrace lifelong learning and adaptability in response to evolving psychological knowledge and societal needs, engaging with global perspectives and demonstrating intercultural awareness.

Po-Lo Matrix