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Fundamentals of Engineering Economics

Fundamentals of Engineering Economics - 2nd edition

Fundamentals of Engineering Economics - 2nd edition

ISBN13: 9780132209601

ISBN10: 0132209608

Fundamentals of Engineering Economics by Chan S. Park - ISBN 9780132209601
Cover type: Hardback
Edition: 2ND 08
Copyright: 2008
Publisher: Prentice Hall, Inc.
Published:
International: No
Fundamentals of Engineering Economics by Chan S. Park - ISBN 9780132209601

ISBN13: 9780132209601

ISBN10: 0132209608

Cover type: Hardback
Edition: 2ND 08
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Summary

From the author of the best-sellingContemporary Engineering Economicsbook,Fundamentals of Engineering Economicsoffers concise, but in-depth coverage of all fundamental topics of Engineering Economics.A four-part organization outlines an understanding of money and its management, how to evaluate business and engineering assets, .the development of project cash flows, and special topics in engineering economics.For individuals interested in the field of industrial, civil, mechanical and electrical engineering

Table of Contents

Table of Contents

PART 1UNDERSTANDING MONEY AND ITS MANAGEMENT1
Chapter 1 Engineering Economic Decisions2 1.1 The Rational-Decision-Making Process 4 1.1.1 How Do We Make Typical Personal Decisions?4 1.1.2 How Do We Approach an Engineering Design Problem?7 1.1.3 What Makes Economic Decisions Different from Other Design Decisions?10 1.2 The Engineerrsquo;s Role in Business 10 1.2.1 Making Capital-Expenditure Decisions10 1.2.2 Large-Scale Engineering Economic Decisions11 1.2.3 Impact of Engineering Projects on Financial Statements13 1.3 Types of Strategic Engineering Economic Decisions 14 1.4 Fundamental Principles in Engineering Economics 18 Summary 19

Chapter 2 Time Value of Money20 2.1 Interest: The Cost of Money 22 2.1.1 The Time Value of Money22 2.1.2 Elements of Transactions Involving Interest24 2.1.3 Methods of Calculating Interest26 2.2 Economic Equivalence 28 2.2.1 Definition and Simple Calculations28 2.2.2 Equivalence Calculations Require a Common Time Basis for Comparison31 2.3 Interest Formulas for Single Cash Flows 33 2.3.1 Compound-Amount Factor33 2.3.2 Present-Worth Factor35 2.3.3 Solving for Time and Interest Rates38 2.4 Uneven-Payment Series 40 2.5 Equal-Payment Series 42 2.5.1 Compound-Amount Factor: FindF, GivenA,i, andN43 2.5.2 Sinking-Fund Factor: FindA, GivenF,i, andN47 2.5.3 Capital-Recovery Factor (Annuity Factor): FindA, GivenP,iandN49 2.5.4 Present-Worth Factor: FindP, GivenA,i, andN52 2.5.5 Present Value of Perpetuities57 2.6 Dealing with Gradient Series 57 2.6.1 Handling Linear Gradient Series58 2.6.2 Handling Geometric Gradient S