ENGINEERING ECONOMY (2 Credits)

Learning Outcomes:

On successful completion of this course, student will be able to: Use basic engineering economy to calculate time value of money, different between present and future worth, interest rate; Create cashflow analysis for a project; Analyze investment decision criteria by using economic decision (IRR, NPV, Payback, Present Worth); Perform project accounting principles in calculating Revenue, EBITDA, EAT, and net profit.

Topics:

1. Foundations of Engineering Economy;
2. Time Value of Money;
3. Nominal and Effective interest rate;
4. Present Worth Analysis;
5. Present Worth Analysis (2);
6. Annual Worth Analysis;
7. Investment Decision Criteria;
8. Rate of Return Analysis;
9. Benefit Cost Analysis;
10. Breakeven and Payback;
11. Case study investment;
12. Depreciation and After tax analysis;
13. Project presentation.