CS-I, Engineering Economics

practice. Topics include theoretical and conceptual financial project analysis; types and applications of engineering economic decisions; capital, cash flow, and the time value of money concepts; nominal and effective interest rates when considering loans, mortgages, and bonds; the application of present worth analysis, annual equivalent analysis and rate of return analysis in evaluating independent projects; analyzing lease vs. buy alternatives and making decisions; after-tax financial analysis requires understanding of capital cost allowance (depreciation) and corporate income tax; understanding methods of financing and capital budgeting; break-even, sensitivity and risk analyses. Textbooks (most recent edition is recommended): Primary Text: Fraser, Niall; Jewkes, Elizabeth; Pirnia, Mehrdad; Schmitt, Ketra. Engineering Economics: Financial Decision Making for Engineers, Canadian Edition, Pearson Education Canada. Secondary Text: Newnan, Donald G.; Jones, John; Whittaker, John; Eschenbach, Ted G.; Lavelle, Jerome P. Engineering Economic Analysis, Oxford University Press. French Text: Park, Chan S. Analyse Economique en Ingenierie, Editions du Renouveau Pedagogique. Web Resources: Keywords: engineering economics, cost engineering, financial analysis Organizations: International Cost Engineering Council, Association of Cost Engineers, Association for the Advancement of Cost Engineering