Engineering Economic Analysis and Management

Instructor: Darryl Craig

3 credits

Course Purpose

Learn principles and practices of interpreting financial information and performing engineering-related economic analyses. This course focuses on current practices, using economic information for decision making and control.

Course Topics

Financial Principles

  • Implications of basic accounting and cost systems to engineers
  • Interpretation of financial data, budgets and accounting summaries

Costing Systems and Management Control

  • Activity-based costing
  • Pricing strategies and decision making
  • Life-cycle cost analysis and models
  • Budgeting and risk analysis

Investment Analysis

  • Time value of money
  • Discounted cash flow, internal rate of return, payback methods
  • Sensitivity and break-even analysis
  • Impact of inflation, depreciation and income tax

Financial Models and Forecasts

  • Planning and control models
  • Contemporary management techniques