Engineering Economy, 7th edition, provides undergraduate students and practicing professionals with a solid preparation in the financial understanding of engineering problems and projects, as well as the techniques needed for evaluating and making sound economic decisions. Information on cost estimation, depreciation, and taxes has been updated to conform to new tax laws. Eighty percent of the end-of-chapter problems are revised or new to this edition.
Distinguishing pedagogical characteristics of this market-leading text include its easy-to-read writing style, chapter objectives, worked examples, integrated spreadsheets, case studies, Fundamentals of Engineering (FE) exam questions, and numerous new end-of-chapter problems. Graphical cross-referencing is indicated so users are able to locate additional material on any one subject in the text. Quick-solve (Q-Solv) and Excel-solve (E-Solve) icons found in the text indicate the difficulty of a problem, example, or spreadsheet.
Table of Contents
Learning Stage 1 -- The Fundamentals
Chapter 1: Foundations of Engineering Economy
Chapter 2: Factors: How Time and Interest Affect Money
Chapter 3: Combining Factors and Spreadsheet Functions
Chapter 4: Nominal and Effective Interest Rates
Learning Stage 2 -- Basic Analysis Tools
Chapter 5: Present Worth Analysis
Chapter 6: Annual Worth Analysis
Chapter 7: Rate of Return Analysis: One Project
Chapter 8: Rate of Return Analysis: Multiple Alternatives
Chapter 9: Benefit/Cost Analysis and Public Sector Economics
Learning Stage 2 Epilogue-Selecting the Basic Analysis Tool
Learning Stage 3 -- Making Decisions
Chapter 10: Project Financing and Non-economic Attributes
Chapter 11: Replacement and Retention Decisions
Chapter 12: Independent Projects With Budget Limitation
Chapter 13: Breakeven and Payback Analysis
Learning Stage 4 -- Rounding Out the Study
Chapter 14: Effects of Inflation
Chapter 15: Cost Estimation and Indirect Cost Allocation
Chapter 16: Depreciation Methods
Chapter 17: After-Tax Economic Analysis
Chapter 18: Sensitivity Analysis and Expected Value Decisions
Chapter 19: More on Variation and Decision Making Under Risk
Appendix A: Using Spreadsheets and Microsoft Excel
Appendix B: Basics of Accounting Reports and Business Ratios
Appendix C: Code of Ethics for Engineers
Appendix D: Alternate Methods For Equivalence Calculations
