Engineering Economics

COURSE DESCRIPTION

The course unit emphasizes the systematic evaluation of the costs and benefits associated with proposed technical projects. The student will be exposed to the concepts of the “time value of money” and the methods of discounted cash flow. Students are prepared to make decisions regarding money as capital within a technological or engineering environment.

COURSE JUSTIFICATION/RATIONALE

The course focuses on economic and cost analysis of engineering projects, giving insights on modern techniques and methods used on economic feasibility studies relating to design and implementation of engineering projects. It provides sound understanding of concepts and principles of engineering economy and to develop proficiency with methods for making rational decisions regarding problems likely to be encountered in professional practice.

LEARNING OBJECTIVES

By the end of this course, the student should be able to:

·        Outline the principles of engineering economics.

·        Apply Economics in the field of engineering.

·        Acquire knowledge for project investment appraisal

·        Learn about investment decision analysis

LEARNING OUTCOMES

A student on completing this course is expected to:

§  Explain the general theory of economics.

§  State the effects of economics on factors of production.

§  Describe the fiscal and monetary policies affect the manufacturing industry.