IE 202 – Engineering Economy
IE 202 – Engineering Economy; Weekly hours: 2+1, ECTS: 5
This course deals with the application of economic analysis models for decisions between alternatives. The content of the course is designed to provide students with the fundamental concept of engineering economy. Foundations of Engineering Economic; Factors: How Time and Interest Affect Money; Combining Factors; Nominal and Effective Interest; Present Worth Analysis; Annual Worth Analysis; Rate of Return Analysis (ROR): Single Alternative; Rate of Return Analysis (ROR): Multiple Alternatives; Benefit Cost Analysis and Public Sector Economics; Making Choices: the Method, MARR, and Multiple Attributes; Replacement and Retention Decisions; Breakeven Analysis; Cost Estimation and Indirect Cost Allocation; Depreciation Methods.