Engineering Economics

Chapter (1)

  • Interest and Interest Rate
  • Time Value of Money
  • Cash Flow Diagram

Chapter II: (2)

  • Future Value of Compounding
  • Present Value and Discounting
  • More on PV and FV

Chapter III: Discounted Cash Flow Valuation (3)

  • FV and PV of Multiple Cash Flow
  • Valuing level of Cash Flow’s: Annuities and Perpetuities -Case Study
  • PV for Annuity Cash Flow
  • FV for Annuity Cash Flow

Chapter IV-Net Present Value and Other Investment Criteria (4)

  • NPV
  • The Payback Rule
  • Discounted Payback
  • The Internal Rate of Return

Chapter V-Making Capital Investment Decision (5)

  • Project Cash Flow
  • Incremental Cash Flow

Chapter VI-Project Analysis and Evaluation (6)

  • Evaluating NPV
  • Scenario and other What if Analysis
  • Break Even Analysis

Chapter VII -Determining Economical Project Investment Interpretation (7 , 8)

  • Profit and loss Statement
  • Balance Sheet
  • Financial Ratio

TableAppendix_C_CITables copy

References

William Sullivan et. al, Engineering Economic, 13rd Edition, Prentice Hall

Newman DG et. al, Engineering Analysis, 8th Edition, Oxford University Press